Final answer:
As human resources become limited, there may be increased demand and value for natural resources and capital goods. Scarcity of resources requires economic planning to ensure efficient use. The limitation of one resource shifts the demand towards others, affecting their value and use in the economy.
Step-by-step explanation:
As human resources become limited, natural resources and capital goods are subjected to increased demand and are likely to become more valuable. Economic resources such as labor, land, and capital are essential for production and are constantly in limited supply relative to human wants. The scarcity of these resources is a fundamental economic problem that every society faces, influencing resource allocation decisions.
The relationship between resource allocation and scarcity dictates that as one resource becomes scarce, it places extra pressure on other resources. In the case of limited human resources, there may be a higher demand for capital goods to replace labor through automation or improved efficiency. Moreover, natural resources may become more sought after as substitutes for human labor or as essential inputs into the production of capital goods.
Scarcity in economic terms means that the supply of resources does not meet human demands. The supply is limited due to the finite nature of resources, while human wants seem to be insatiable. This scarcity requires careful economic planning and decision-making to ensure the most efficient use of available resources, often leading to a reassessment of how natural resources and capital goods are utilized when human resources are constrained.
In conclusion, the limitation of one economic resource tends to shift the demand towards alternative resources, potentially increasing their value and changing how they are used within the economy. This emphasizes the challenge of maintaining a balance between economic growth and sustainability, especially when dealing with limited resources.