Economics is best defined as the study of how people, businesses, governments, and societies make choices to cope with scarcity.
Scarcity refers to the fundamental problem of having limited resources to meet unlimited wants and needs. In economics, the choices made by individuals and organizations to manage these limitations form the basis of economic theory and practice. This definition captures the essence of economics as it emphasizes the decision-making process involved in allocating resources efficiently under constraints.
While wealth creation and abundance are important aspects of economics, they are not comprehensive enough to encompass the entire field. Economics fundamentally revolves around making choices in the face of scarcity, which is the driving force behind economic behavior.