As we are aware that the human wants are unlimited i.e. human wants varry in their intensity but the means or resources to satisfy the wants are limited. If we use one resource to satisfy one want we cannot use the same to satisfy the another.
The problem of economy is how to use the limited resources to satisfy the unimited wants. Every one will try to use the limited resource to satisfy the unlimited wants and get satisfaction. In the war of limited resource and unlimited wants naturallu the human will saisfy those wants which are intense then which are on lower priority thus sacrificing them. This is the probem of economy how to make the maximum usage of the limied resource to satisfy the unimited wants.
Every family, rich or poor, Indian, American apart from basic needs of food, clothing shelter has unlimited wants such as child education, tax payment, insurance, medicines during sickness,recreation,social ceremonies etc. but the resources at the disposal are very limited, therefore everyone is trying to make the best use of the limited resource and gain maximum satisfaction.
Problem of Unlimited wants and limited resources arises at all levels whether its a club, hospital, state or national government etc. The Government of every country has innumerable demands on resources such as meeting defence budget, expenditure to carry out developments in various sectors such as industrial, agricultural, education and so on and so forth. We are still strucggling with the development of the basic infrastructure of Power, Water and roads.
Though the Country/ Countries annual revenues are enormous in billions of dollors theirs needs are also unimited such as expanding and modernising the defence forces, establishing the military bases in the other countries, expenditure on space and other research and so on....Every nation rich or poor, small or great with small or huge population has have to face the problem of unlimited wants and limite resources. Thus this is something universal.
The war of unlimited wants and Limited resources has do not recognise the boundaries of caste, creed, colour, religion, culture, nation,rich or poor. It is confronting mankind forever.
