Scarcity is an undeniable feature of human action. The fact that we have unlimited wants and desires but face a world of limited resources and means, makes it necessary to economize our resources. The importance of scarce means can be seen in the fact that they can only be utilized for one purpose at a time, and if there are multiple goals that require the same scarce resource, then a choice must be made. The need to allocate scarce resources carefully arises from the potential conflict that emerges when several ends compete for the same means.
Physical resources, such as land, water, and minerals, are naturally limited and cannot be in multiple places at the same time. Thus, the deployment of scarce resources to one area necessarily implies that it cannot be used in another. This is where the concept of economizing resources comes in. If there is a shortage of scarce resources to satisfy all ends, then these goods must be allocated based on the most important use, where the good is most valuable.
Scarcity creates the need for choice, and whenever an individual makes a choice, they are inevitably giving up the opportunity to pursue other alternatives. This is the concept of opportunity cost, which refers to the value of the next best alternative forgone when a choice is made.
However, if the scarce good is abundant, then it is not subject to economization and can be considered a non-restraint for action. For example, air is generally abundant on earth's atmosphere, and thus there is no need to economize on how much air to breathe in. However, if one is underwater and has only a small bottle of pressurized air, then the actually scarce resource will be consumed quickly, and thus the actor has to economize on how to use the resource. This implies that a good's scarcity is subjective and depends on the context in which it is used.
In conclusion, scarcity is a fundamental principle that governs human action. It creates the need to economize resources in order to achieve the most valuable ends. The scarcity of a good is subjective and depends on the context in which it is used. It is only through careful allocation and economization of scarce means that individuals can hope to achieve their desired ends.