In simplistic terms the Economic Problem is that we always want more than we have the resources for.
Our wants are unlimited and our resources are limited. In other words there is scarcity of the things that we want either as individuals, businesses or nations.
As the result of scarcity we have to make choices.
Scientists suggest that in traditional societies that humans had to make 2,500 decisions per day. Today we make about 35,000 decisions per day.
I wonder how many you have made already today?
From an economic perspective, when we make those choices, we are trying to ensure that we are making the best use of the scarce resources available to us.
As an individual, would a bowl of cereal or a bowl of fruit be a better choice of breakfast.
For a business, should they buy employ staff or install self serve kiosks.
For a nation, allow individuals to keep all their income and allow them to choose where to spend it or tax their income and spend it on their behalf.
In summary.
The Economic Problem is the problem of scarcity, where unlimited human wants exceed the limited resources available to satisfy them.