Yes, busy is a Scrabble word!
...and is worth 9 points in Scrabble, and 10 points in Words with Friends
busy
Adjective
1. Actively or fully engaged or occupied
2. Overcrowded or cluttered with detail
3. Intrusive in a meddling or offensive manner
4. Crowded with or characterized by much activity
5. (of facilities such as telephones or lavatories) unavailable for use by anyone else or indicating unavailability; (`engaged' is a British term for a busy telephone line)
Verb
1. Keep busy with
What Scrabble words can I make with the letters in busy?
4 Letter Words
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3 Letter Words
2 Letter Words