Introduction Bangladesh is one of the rapidly developing nations with good growth prospects. The country has a great economic potential because of its vast resources. The country has large reserves of natural gas, timber, arable land and, coal. On the other hand, coal production has not been fully commercialized. Its exports jumped by 31% in the first quarter of 2010 (Bangladesh Bureau of Statistics, 2010, p. 9). This means that trade can still be increased in both frontiers. In 2008, it was ranked position 48 as one of the world’s largest economies. Its economy has been growing by between 6-7% over the past few years (Bangladesh Bureau of Statistics, 2010, p. 3). The county is currently having a GDP growth rate of 5.9%. More than half of the country’s GDP is controlled by the service sector. In addition, nearly half of the population is employed in the agricultural sector. On the other hand, it has an unemployment rate of 37 % (Bangladesh bureau of statistics, 2010, p.17). The county has a lot of endowments in human resource, abundant water, rich agricultural land and massive reserves of natural gas (Gillan, 2002, p. 12). Although the county’s agricultural sector has been improving, it heavily relies on an erratic monsoonal cycle. Agricultural production has also been slowed down by massive flooding. On the other hand, there is a rapidly growing labor force and inadequate port facilities. Food insecurity and inflation are major concerns that need to be looked at for sustainability. The county has had an inflation rate of 12.3% as from April 2010. (Bangladesh Bureau of Statistics, 2010, p. 14) Economic growth has not been inclusive in recent years and this is a major challenge that needs to be addressed. For instance most hilly regions in the northeast and south east are more developed than other. In addition, majority of the population lives in underdeveloped rural areas. There is a huge population that has not been well utilized (Gillan, 2002, p. 17). This can be explained from the high unemployment rate. On the other hand, infrastructure development and investments have been lagging behind. It is undeniable that most of the country’s areas don’t have adequate power supply. These are some of the issues that need to be dealt with as the country faces up to the issue of scarcity and choice. Discussion The basic economic problem that needs to be looked at is scarcity and choice. This is because there is a limited use of resources. It is necessary to effectively use these resources for enhanced economic growth (Chacholiades, 1986, p. 10). The country’s economy is faced with an unlimited production of goods and services. It is obvious that all societies face the problem of deciding on the best economic approaches (Gillespie, 2007, p. 9). This means that there is need to decide on what goods to produce, how best to produce and who will receive them. Because of scarcity, it is necessary to make right choices that will lead to a good trade off on the best approach (Shephard, 1970, p. 13). Bangladesh has a great growth potential that needs to be capitalized on for the well being of its people. This is why the country needs good choices in resource allocation to enhance production. For instanc