which the following is central problem of an economy
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ome of the central problems that are faced by every economy of a country are as follows: Production, distribution and disposition of goods and services are the basic economic activities of life. In the course of these activities, every society has to face scarcity of resources.
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Central problem of an economy are:
a) What to produce?
The problem of choice related to the production of different goods.
b) How to produce?
The problem of choice related to the technique of production.
c) For whom to produce?
The problem of choice related to the distribution of output.
These problems are central to every economy . These are arises because:
a) resources are scarce in relation to unlimited wants, and
b) resources have alternative uses.
Hope it helps. : )
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