A firm's labor demand curve is derived from the supply of the goods and services it produces

Which of the following statements is true regarding scarcity?

A) An economy experiences scarcity only when the incomes of its citizens decline. B) All citizens in a wealthy economy experience scarcity. C) Scarcity affects poorer countries only. D) Poor people experience scarcity more often than do rich people. E) Scarcity could be overcome if people would make all choices in the social interest.

The underlying assumption of the Harrod-Domar growth model is that

a. the incremental capital-output ratio is given by k ? Y/K. b. growth is mainly determined by capital accumulation. c. growth can be sustained only if agricultural productivity rises. d. developing countries save too much and invest too little.