Explain the foundation of economics

Question

Explain the foundation of economics where society’s material wants are unlimited?

Answer 1

The foundation of economics where society’s material wants are unlimited (the first fundamental fact) are:-

1. Economic wants are desires of people to use goods and services which present utility that means satisfaction.

2. Division is subjective whereas products are sometimes classified as luxuries/necessities.

3. Services satisfy wants as well as goods.

4. Businesses and governments also have wants.

5. Over time, wants change and multiply.