Final answer:
The universally accepted definition of economics is 'B) Economics is the science of scarcity and choice,' because it addresses the fundamental issues of how people make decisions with limited resources.
Step-by-step explanation:
The definition of economics that is widely recognized and accepted is B) Economics is the science of scarcity and choice. This definition is universally acceptable because it captures the core essence of what economics studies: how people make decisions when resources are limited. Two reasons justify this definition:
- Scarcity: Economics examines the reality that the wants and needs of people for goods, services, and resources are greater than what is available. This scarcity forces individuals and groups to make choices about how to allocate their limited resources efficiently.
- Choice: Economics involves analyzing the decisions made by individuals, families, businesses, and societies with the aim of understanding how these decisions are influenced by the pressures of scarcity. It recognizes that these choices have to be made because of the finite amount of resources, including time.
Put simply, economics looks at the trade-offs and decisions that have to be made because there isn't enough of everything to satisfy everyone completely. It's a social science that applies a scientific methodology to study these decisions, whether at the individual or societal level.