Katherine is facing a difficult decision between how much time she spends as a cheerleader and how much time she spends studying her economics. Which economic concept describes the problem she is facing? A) scarcity B) competition C) fiscal policy D) supply and demand

The answer is A) Scarcity

The answer is A. Scarcity

In the economic field, scarcity is identified as a condition of limited resources, in which case society lacks sufficient resources to produce enough and by doing so, it cannot satisfy subjective wants. Thus, not every goal of society can be accomplished at the same time, so there has to be a priorization of goods.

In this case, Katherine lacks sufficient time, and has to priorize its use either for cheerleading or studying.