The need to construct a scale of preference is necessitated by____________

  • A scarcity and the need for choice
  • B The needs to satisfy wants
  • C Non - availability of factors of production
  • D Scarcity of resources
jamb 2018economics

The correct answer is A. scarcity and the need for choice

A scale of preference is a basic economic concept that describes how individuals order their consumption preferences.

Due to scarcity, individuals cannot have all the goods and services they want; as a result, they must make choices.

A scale of preference helps individuals make decisions by ranking their wants or needs in order of importance.

Previous question Next question