Scarcity and the Unlimited Wants of Mankind

Scarcity and the Unlimited Wants of MankindIntroductionIn my view, economic is a flying field of the how the society uses the scarcity of resource to fulfill the needs and wants of people. different long-familiar economists cede different interpretations of the economic put forwardment. So, political de get laidrance is not a specific answer and ex visualiseation, It is made of various well-known economists to identify the definition and aw atomic number 18ness of economic. As we know that, economics is truly all-important(prenominal) to a commonwealth, not lonesome(prenominal) country, it in addition important to people. personifyEconomics is the study of resources, their scarcity and the unlimited wants of mankind. From this sentence, it was talking about economics is the study of resources, the resources are categories by 4 type of resources. Firstly, the resource of debark, the inflict not only represents a piece of land in a country the land is containing all the natural resources such(prenominal)(prenominal) as trees, mineral, rivers and etc. Secondly, the resource of labor movement, the resource of outwear is mean that consists of the physical and mental abilities of a worker. The worker subject to work according to the vocation responsibility and job routine, for example of the worker, is engineer, supervisor, manager and so on. Thirdly, the resource of large(p), large(p) refers to goods levyd in an economy that are used to produce other goods and services. For example, machines, as well asls, vehicle and so on. Lastly, entrepreneur, the entrepreneur is mean a person who has to organize resources for production, has an inclination and able to deliver smart product or techniques of production. Other than this, the person gains the rewards and bears the risks of such endeavours. An entrepreneurs use of goods and services is bringing innovation and risk-taking. there are 3 canonic economic issues which is what goods to produc e and in what quantities, how to produce them and for whom to produce them? In these 3 basic economic issues, it testament cause the decisiveness making to become galore(postnominal) changes as the curious resources. at any rate that, it alike will cause the conduct changes in the market, it maybe affects the quantities of using the scarcity of resources. In this case, we may assume the closely appropriate, efficient, and better(p) option in come out to overcome these 3 basic economic issues. Because it can help the producer or shaper to get down a decision which goods and service to consume and utilize by effective using the scarcity resource.From this situation, the chance cost will occur. What is an opportunity cost? Opportunity cost is mean that the cost of an item heedful in terms of alternatives forgone. For example, a financial manager who is living in Johor state and he/she working in expectant of Singapore and earn 2500 dollars by the month but he/she need to pay for the bus fees in 300 dollars and take a long condemnation for Johor state to Singapore. Besides that, he/she able to work in Johor state as a financial manager too. The salary by a month is RM 3500 and the union provides transportation, and take a very short time for travel from the fraternity to his/her home. In this situation, the financial manager needs to make a decision in range to make self as convenience as possible and calculate the best reward included the transport fees, so he/she need to foregone one job to satisfy his/her desire. From this, the opportunity cost was related between scare of resource, so a familiarity, unassailable or organization need to choose the best option to develop.Different economists overhear different terms, view and statement to describe and delimit the economics. The most appropriate definition is that by Lionel Robbins who defined economics as The intuition which studies sympathetic deportment as a relationship between ends and simply means which do alternative uses. Lionel Robbins as a British notable economist was defined economics as the science which studies tender-hearted behaviour as a relationship between ends and scarce means which have alternative uses. In these phrases, there are few basic propositions emphatic in Lionel Robbinss definition as follows.Firstly, in this phrase, we talk about what genuinelyly meaning of gracious behaviour. Human behaviour in this phrase is meant that the human has unlimited human wants, even consumer. Basically human is looking for whatsoeverthing in needs and wants to full fill their pauperism and able to r distributively their merriment even said(prenominal) as the consumer are looking for good caliber of products and efficiency services. However, humans satisfaction is not fixed such as high demanding or easily satisfies, this also same as a consumer because consumer also has different satisfaction in products and services due to they are post-p urchase.On the other hand, human is always insati strength in their need. The needs have to be at ease for the life and the wants have to satisfy in order to live comfortably. Besides that, Human is also never feel satisfied as they have whateverthing they still want to get something that is better than the things they have. For example, previously we just need phones that can help us call each other, afterwards, we start to want some music in our phones, hence the receiving set and mp3, afterwards people have to a greater extent(prenominal) needs, we want to be able to watch videos, internet, make video calls and so on. Limit slight(prenominal) needs and wants make resources scarce and difficult to sustain. Therefore, needs are never-ending by the human and human was never stop working or keep ponderous work to earn silver in order to satisfaction of their needs.Next, when human faced many options of wants, they need to choose the best one of the wants in order to achieve th eir satisfaction based on their limited resource. establish on the Lionel Robbinss theory, it talks about all wants are not same important, some are more important and some are less important, so we have to consider by well which wants is most important and arrange the wants we have by most important to less important. thence we choose the most important one to first and delaying the other wants.There are 4 basic resources which are land, labour, superior and entrepreneur. Sometimes these quaternion resources will be scarcity it may cause the demand to go on the supply. So, in order to avoid this situation occur, the decision making mustiness be made by rational. First, lands are being inefficiency in the world, so that the people must be plan out the most effective method for using the limited land. For example, Singapore is a advanced(a) country nowadays, Singapore has fast development such as modern building, modern transportation and so on. In order to develop, it needs a orotund of space of land. Singapore is a country which is small and a narrow, in order to let more people living in Singapore so that, the government construct the high building to the people for live and builds more high building for other uses, thus the lack of land resource problem solved. Of course, the problem has been solved, but it spends overmuch of property to puzzle up the defect, so it will cause Singapore to forego some projects and plans.Secondly, we talk about the labour, labour is referred that employee and workers which is willing to work and have the ability to work. Labour is a very important one in the 4 resources too, if a company lack of labour, which will cause many problems such as less production, the whole operation might be slowed wad and so on. For example, a mill was facing less of labour, it caused the production is tone ending slowing down and the packaging department was slow operation too. In order to solve the problem, the grind itself has to increase the salary to attract more people to come in the manu grind to work. Besides that, the factory also needs to misdirect the machine to re house the human resource. So that, the manufactory itself will be more efficiency in production, packaging and so on. Although the problem was solved, the net profit of the manufactory will decrease because of outgo the income to the worker, it may cause the manufactory itself may foregone some plan or project such as expand the manufactory outperform and development of branches.Thirdly, we talk about the resource of capital. Capital is the items that a manufactory or a company using to produce goods and services such as machines, tools and vehicles. In other hand capital also refers to the real estate of a company or manufactory. Furthermore, a resource of capital is a very close relationship between resource of labour, it is because the capital needs labour to carry or use. imagination of capital is instead important to a manufact ory, firms, company and so on, it is because they using the resource of capital to serve the customer in order to earn a profit. Resource of capital is a resource which is tangible and intangible, so for the tangible capital resource will going to degradation because of the flow over time. So, some manufacturing factory or firms will renew update and be get new capital to replace the old capital. For, example, a new manufacturing factory is full of the capital resource but lack of the technical rung and the capital resource within the new manufactory is used for the great unwashed production. In order to fulfil the capital resource being to control, the manufactorys labour resource manager has to hire the workers which able to control the capital to produce the product in the manufactory. If it hired the technical staff successfully, the lack of control of capital is been solved, but the manufactory are spent much of money in the salary to the workers. In this case, the headquart er has to consider by rational to make a decision as able to supply the product to the demand of the consumer as moderate as possible. In order to complete the production, they have to forgo some plans and program such as establish more branches in other areas, buy over the supplier and so on, it is because the new manufactory is spending much of money in the salary of the workers. So, it takes time to earn back the money and the other plans and program will be postponed.The last resource is the entrepreneur an entrepreneur is a person who has the ability to organise resources for production and has the ability to introduce new products and services. The entrepreneur also has the ability to bring the innovation of the products and services, the entrepreneur also receives the reward and bears the risks. In economy, scarcity of resource will occur and not excluded entrepreneur. Why will the entrepreneur be scarcity? That was being many factors to cause it. For example, Sabah state was a second largest area of the state in Malaysia these states are be living most poverty people, so the people unable to study in instruct and unable to enter a higher school because of financial problems.As an entrepreneur, besides having an education background and creativity of idea it also need the resources to produce goods and services such as land, capital, and labour resource. For example, an entrepreneur has idea to produce the product which is cloth, it needs workers, machine and place to produce this product, but the entrepreneur does not have enough too much of funds to buy over the factory and the entrepreneur only have funds to buy the machinery and able to hire some workers to work. So the entrepreneur just has to rent the factory to produce the product. In this case, the entrepreneur have to choose the best way to satisfy his/her wants if the entrepreneur spends the funds to buy over the factory it does not have enough to buy machinery and hire workers. In this scena rio, the entrepreneur has to foregone to buy over the factory, so the entrepreneur can produce the product by renting the factory. cobblers lastIn the economy, the land, labour, capital and entrepreneur is very important to a company, manufactory and firms. When the company, manufactory and firms are facing scarcity of the resource, it needs to choose the best wants, arrange the important wants to first and postpone or foregone the less important wants.Furthermore, decision making is also very important. For the opportunity cost, for example, scarce of the resource is happened in a company, the companies headquarter has to choose the best wants in order to develop within some wants. In this case, it has to foregone the other wants. If the company headquarter has had chosen a wants to develop, after a period of time, there are no regret of chosen the wants to develop and no regret do not choose other wants before. So, in this situation, the companys headquarter have to consider by cl ear and be rational in order to make indisputable that does not feel regret after the decision is making by over a period of time.In this assignment, I was learning much of knowledge such as Lionel Robbinss theory and gain some recyclable information by doing internet research. Besides that, I also had an tacit the 4 resources such as land, labour, capital and entrepreneur.