1. In what way is scarcity a driving force of economics?

2. Explain how scarcity is related to the factors of production.

3. Explain how scarcity is related to the concept of choice for both individuals and institutions.

4.Distinguish a scarce resource from a free good. Give an example.

5. Do free goods have any value in the production process or any other part of the economy? Why or why not?

6. What circumstances are required for a free good to become a scarce resource? Give an example.