Economics problems arise in all societies because

Step 1: Analyze the question The question asks for the root cause of economic problems in every society, whether rich or poor, developed or developing.

Step 2: Explain the concept The basic economic problem is scarcity. Human wants are unlimited, but the resources available to satisfy them (land, labour, capital, entrepreneurship) are limited. Because of this, every society must make choices about:

• What to produce
• How to produce it
• For whom to produce it

This is why we talk about scarcity, choice, and scale of preference. Since the problem exists in all societies, its cause must be something universal, not something specific to one country's leadership or planning.

Step 3: Evaluate the options

• A. The services of economists are not employed: Wrong. Even where economists are employed, scarcity still exists.
• B. Resources are not in adequate supply: Correct. This is scarcity: resources are limited relative to unlimited wants.
• C. There is no proper planning: Wrong. Even well-planned economies face scarcity. Planning helps manage it but does not remove it.
• D. Resources are mismanaged by leaders: Wrong. Mismanagement can worsen problems in some countries, but it is not a universal cause.

Step 4: Answer The correct answer is B. Option B is worded loosely ("resource are not in adequate supply"), but it clearly means resources are scarce relative to wants.

Tip: When you see "all societies" or "every economy" in a question on economic problems, think scarcity. Look for the option that mentions limited or inadequate resources. Be careful with options that blame people (leaders, planners), because scarcity exists even under perfect management.