All economies must answer three economic questions. name them

General
1

all economies must answer three economic questions. name them.

2

All economies must answer three economic questions. Name them.

Answer:
All economies, regardless of their structure or level of development, must address three fundamental economic questions due to the basic economic problem of scarcity: limited resources but unlimited wants. These questions help determine how to allocate resources efficiently to meet the needs and desires of society. The three economic questions are:

  1. What to produce?
  2. How to produce?
  3. For whom to produce?

Solution By Steps:

  1. What to Produce?

    • This question addresses which goods and services should be produced in the economy. It involves decision-making about prioritizing certain products over others based on available resources, societal needs, and consumer preferences. For instance, should more resources be allocated to healthcare or defense? This question helps in determining the mix of goods and services that will satisfy the most pressing needs and wants of society.

  2. How to Produce?

    • This question focuses on the methods of production. It considers the most efficient way to utilize resources—whether to use labor-intensive methods or capital-intensive methods, and what technologies to adopt. It also includes considerations of environmental impacts and sustainability. For example, should a country use renewable energy resources or non-renewable resources? This helps in deciding the best approach to combining inputs to create outputs while minimizing costs and maximizing efficiency.

  3. For Whom to Produce?

    • This question involves deciding who will receive the produced goods and services. It addresses the distribution of output among different individuals and groups in the society. This can be influenced by factors such as income distribution, prices, and government policies. Should goods be distributed more equally, or should they be based on purchasing power? This question is crucial for determining the accessibility of goods and services to various segments of the population.

Final Answer:
All economies must answer the three fundamental economic questions:

  1. What to produce?
  2. How to produce?
  3. For whom to produce?