Economics is primarily the study of:

• A. How individuals and societies allocate scarce resources to satisfy unlimited wants
• B. The moral and ethical principles of human behavior
• C. The history and development of human civilizations
• D. The physical laws governing natural phenomena

Answer: (A)

Verified step by step guidance

1. Understand that economics is a social science focused on decision-making related to resources.
2. Recognize that resources are scarce, meaning there is a limited supply relative to human wants.
3. Identify that economics studies how individuals and societies make choices to allocate these scarce resources efficiently.
4. Note that the goal is to satisfy unlimited wants despite scarcity, which creates the need for prioritization and trade-offs.
5. Conclude that economics is primarily about the allocation of scarce resources to meet unlimited wants, rather than moral principles, history, or physical laws.