Question

True or False Questions (5 Marks= 5×1)

1. The problem of “How to produce” involves choice between consumer goods and capital goo​

Answer 1

True

Explanation: The choices in the consumer and the capital goods represent the choice of the present and the future. If the society tends to produce more of the capital goods which related to money then there be less of the consumer goods related to food, clothing, and automobiles.