Scarcity exists because: individuals cannot solve the three central coordination problems. governments cannot solve the three central coordination problems. the supply of goods is always less than the demand. new wants continue to develop and willingness to meet them is limited.

New wants continue to develop and willingness to meet them is limited.

Explanation:

Scarcity arises because of -'Unlimited Wants', but 'Limited Resources' having 'Alternative Uses'.

Wants are different from needs: needs are basic but wants are not basic - eg food is need but pizza is want. So, the basic essence of wants is that they are ever increasing. Contrasting to these never ending wants, resources are unlimited & have alternative uses. Eg- Land may be used to create industries or houses, it is limited in contrast to its unlimited want.

Scarcity exists because new wants continue to develop and willingness to meet them is limited.

Explanation:

Scarcity exists because of the mismatch between wants and resources. The wants of the human beings are unlimited and also continue to develop more day by day. Resources to satisfy the unlimited wants on the other hand, are limited or scarce. That's why the willingness to meet new wants and already existing is limited.

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