What is the difference between a shortage and a scarcity?
a. a shortage can be temporary or long-term, but scarcity always exists.
b. a shortage results from rising prices; scarcity results from falling prices.
c. a shortage is a lack of all goods and services; scarcity concerns a single item.
d. there is no real difference between a shortage and a scarcity.
Based on economic theory, scarcity is limitation of a resource which cannot be replenished. Shortage is used to indicate a market condition. When applying this definition to your question, A is your answer.
