Summary and reflection ...

how can we manage the problem of scarcity?

The main thing we can do to manage the problem of scarcity is to not overspend.

Scarcity happen when the number of demand in our society heavily outnumber the amount of resources available. By observing our consumption behavior today, we will notice that a lot of people spend money to buy more goods or services that they actually need.

If we control this overspending behavior, not only people who overspend can save some of their money, there will be a lot of goods/services left for other people.

There are three, and only three, options for society to deal with scarcity, and all societies must deal with scarcity because there are limited resources and unlimited wants.

Those three options are:

Economic growth Reduce our wants Use our existing resources wisely