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basic economic problem

   Also found in: Wikipedia 0.05 sec.

basic economic problem

In economics, the problem posed by the fact that human wants are infinite but resources are scarce. Resources therefore have to be allocated, which then involves an opportunity cost.



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There were some caste differences, to be sure (especially in that the laborers tended more often to be Harijans), but these amounted to cultural attitudes that exacerbated the basic economic problem of too many laborers and poor peasants altogether in relation to too little land and too much landlordism.
Increased efforts to resolve the underlying basic economic problems in African countries are, therefore essential not only to bring about speedy recovery and rehabilitation, but also to ensure a sound and balanced longer term economic and social development.
 
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