How Are Scarce Resources Allocated Among People?

The methods used to allocate our scarce resources are:

Market System, Brute Force, Queuing, Random Selection, Tradition, Equal Shares, Need, Planned Systems.

Defining economics

Most scholars and practitioners view economics as the science of decision-making.

QUEUING (lining up)

is another method of who gets what. This is just like first come, first serve. This wouldn't work well because we would spend to much time in lines.

BRUTE FORCE

is another system of deciding who gets what. It's like survival of the fittest. The strongest, biggest, and,or fastest get what they want.

RANDOM SELECTION

is good in some cases and bad in others, for example some of us might get a good job that fits us perfectly and another guy might get a job that he knows nothing about.

PLANNED SYSTEM

is like Equal Shares but the government chooses. There isn't really anything wrong with this, in fact we use this method in war time.

MARKET SYSTEM

is the system used by the U.S.A. to distribute the allocate scarce resources by letting the buyers and sellers choose what to put in the market.

EQUAL SHARES

is when everyone has the same amount of everything. This wouldn't work because if somebody dosen't like or is allergic to peanuts we end up with wasted resources.

NEED

is when you are so low you need resources really bad otherwise you go bad. The problem with this is some people cheat and lie about how bad they are.

TRADITION

only works if nothing changes, for example if my father played an instrument and likes it I would have to play it to no mater how much tallent you have or if you even like it!

Resources are

the means to accomplish something.

Economics is

the study of the ways that individuals and societies (communities) allocate their limited resources in order to better satisfy their wants.

To Allocate means

to divide among or to distribute in shares.