Question

Central problems of an economy are found only in those economies which are not governed by government. Is this statement true or false? Give reasons.

Answer 1

The above statement is false because every country face the problem of inflation though being govern by the government which is one of the main economic problem facing by the country.In addition to it the problem of unemployment can be seen in many parts of the world that are usually under governments protection.This shows that the central problem of economy is common to all the economy of the country though being govern by the government.

Answer 2

Answer:

false

Explanation:

The central economic problems rise for the basic fact that the resources in the economy is scarce whereas the wants are unlimited. Therefore, it deals with the efficient allocation of the resources for the production of goods and services in the economy and regulations/intervention of the government can do little about central economic problems.