Final answer:
A resource-allocation problem requires information about the amount of resource use per activity, available resources, and the costs involved, all set against the backdrop of economic scarcity and the need for efficient distribution for maximum societal benefit.
Step-by-step explanation:
A resource-allocation problem requires information about A. the amount of each resource used by each activity, B. the amount of each resource available, and C. the cost of each resource listed. Addressing a resource-allocation problem involves understanding how best to distribute resources for the maximum benefit of society, which is part of basic economic decision-making.
Resources are limited due to scarcity, necessitating choices and prioritization in production and consumption. The circular flow model helps us visualize how resources and economic activity move through an economy to address scarce resources. The choices made along a budget constraint reveal trade-offs between different goods and also indicate allocative efficiency, which represents the optimal distribution of goods and services. Finally, opportunity cost is a key concept in economics, describing the cost of what is foregone to pursue a certain option.