**Core Concept**
Norwegian scabies, also known as crusted scabies, is a highly contagious and severe form of scabies caused by the mite *Sarcoptes scabiei*. This condition is characterized by a large number of mites and their eggs in the skin, leading to intense itching and skin lesions.

**Why the Correct Answer is Right**
Norwegian scabies is most commonly seen in immunocompromised individuals, such as those with advanced HIV/AIDS, elderly patients, and people with chronic skin conditions like eczema or psoriasis. This is because their weakened immune system is unable to fight off the infection, allowing the mite population to grow unchecked. The condition is also more prevalent in institutions, such as nursing homes and hospitals, where the mites can spread quickly among vulnerable populations.

**Why Each Wrong Option is Incorrect**
* **Option A:** While scabies can be transmitted through close contact, Norwegian scabies is not specifically linked to this demographic.
* **Option B:** While scabies can affect anyone, Norwegian scabies is not typically seen in healthy individuals.
* **Option C:** While scabies can occur in children, Norwegian scabies is more commonly seen in immunocompromised adults.

**Clinical Pearl / High-Yield Fact**
Norwegian scabies is often associated with a high mite burden, with some cases reporting up to 2 million mites per square centimeter of skin. This highlights the importance of prompt diagnosis and treatment to prevent further spread.

**Correct Answer:** D. Immunocompromised individuals.