WRITTEN WORK #1

Public Administration and the Economic System

Submitted by:
Christine Jane A. Pabo
BPA 3-A
Submitted to:
Mr. Erick P. Mante
 Why is scarcity a universal problem?

Scarcity is connected with our economics. It shows that there is a difference in the demand for a
good or service compared to the supply. Therefore, scarcity might limit the choices available to
consumers, who ultimately power the economy.
Because of the scarcity of resources, consumers must choose how to best deploy those resources to
meet as many of their wants and requirements as feasible.
You will be better able to understand how goods and services are valued if you are aware of scarcity.
Gold, diamonds, and some sorts of knowledge are examples of scarce goods that are more valuable
as a result of their rarity and can fetch higher prices from buyers. Since there is a stronger demand
than supply for their goods or services, these vendors are aware that they may find clients at a
higher price.
You can create scarcity on purpose. For instance, governments have control over the creation of
money, which is a valuable good. The materials required to create money, however, such as paper,
cotton, and labor, are not necessarily uncommon because they are easily accessible anywhere in the
world. If too much government money is printed, it becomes worthless because it is more widely
accessible.

How does scarcity affect your life? Provide several examples of items you had to do without
because of limited resources, and explain how you adjusted to this situation.

Scarcity has a big impact on my daily life. For instance, a lack of money and resources may prevent
me from purchasing the books I've always wanted to read and the phone I've always wanted to use
to connect. Either we need to increase our income or change our aspirations so that we can
purchase something more practical in order to adjust.

I already have a job, but until now I can't afford all my needs and wants. I'm still in the situation of
"magipon." and "magbudget", because that is the only solution that I know, can help me to scarcity.

How are goods, services, and consumers related?

The main source of demand for all things is from consumers. Producers of agricultural products and
manufacturers of industrial goods both generate a variety of goods in response to consumer
demand.
A good is a tangible object that consumers desire or own. Even though services are not tangible
objects, consumers still want them. Frequently, a service can be provided remotely as well. What
individuals consume and pay for is collectively referred to as "goods" and "services."

Products and services typically work together. For instance, a consumer pays for the processing and
transportation of the gas when they purchase it for their vehicle. In this case, the fuel is good, while
the processing and delivery are the services.