What do economists mean by scarcity? a. economists mean that trade is not possible. b. economists mean that unlimited wants exceed limited resources. c. economists mean that production is inefficient. d. economists mean that the economy is unable to produce increasing quantities of goods and services. e. economists mean that people are not employed.

Option A

Explanation: Scarcity refers to the situation when there is limited availability of a commodity. This term is usually used for the natural resources like coal, drinking water etc.

In economics it refers to the situation when there is not limited quantity of resources available for fulfilling the market demand. Scarcity deals with the problem of limited resources in nature and unlimited wants of the population.  

Hence, from the above we can conclude that the correct option is A.

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