Concept:The central economic problem applies in every economic system because human wants are numerous but productive resources are limited.
Explanation:No society, whether capitalist, socialist, or mixed, can produce all the goods and services its members desire.
Since resources such as land, labour, capital, and entrepreneurship are finite, society must decide what to produce, how to produce, and for whom to produce.
These necessary decisions create the need for choice among competing alternatives.
If resources were unlimited or free, there would be no scarcity and no need to choose.
Hence, choice becomes essential in any economic system only because resources are scarce.
Answer:A. scarce