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Explain how resources can be used to solve the economic problem of scarcity.

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Explain how resources can be used to solve the economic problem of scarcity.

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Resources can be used because they can raise the price of there certain good and the problem of scarcity will be better, for example gasoline is a resource that people need for there cars and other things, if you reduce the price of gasoline more people would demand it but if you raised it, it could balance out scarcity.

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Money is not a resource because resources need to be produced. Resources need to be used to make something else and money does not do that. Money is used to acquire the productive resources that produce goods and services.

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Economic capital is anything thats manufactured in order to be used in the production of goods and services.