If we look at scarcity meaning, it can be explained as something which is available in a very limited amount in its natural form. And the thing which is not present in its existing form is known as scarce. For example, oil is obtained from the earth, which is present beneath its surface. Oil companies worldwide spend tons of money to extract that oil from the earth in its possible shape. Once they obtained it, they sold it to other local companies, and then those companies sold it to the consumers. This whole process takes a lot of time and various processes, and people have to pay for it. So, oil is scarce. Because if you are paying for something natural, it means it is scarce.

Difference 101