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The Economic Problem

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The Economic Problem
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Montāžas Teksta

  • The Economic Problem
  • Oh No! This is the last bit of food left. Everything is scarce and limited! What will i do?
  • How to Solve the ECONOMIC PROBLEM?
  • I am the government. I need to find a way to solve the economic problem.
  • Three Economic Questions1. What to Produce?2. How to produce?3. For Whom to Produce?
  • Question # 1: What to Produce?
  • Should we produce machinery which will create future goods or should we produce goods for immediate use?
  • Our needs and wants are never satisfied because they are unlimited, while resources available to satisfy those needs are limited. This is called the economic problem.
  • Question # 2: How to Produce?
  • Should we use labour, automation or a combination of both?
  • The economic problem is related to scarcity because business owners can never satisfy human wants and needs.
  • Question # 3: For Whom To Produce?
  • Who gets more? Who gets less? Should the poor recieve more or should things be shared equally?
  • What? How? For whom? Since the days of early human existence, societies were forced with three basic economic questions given the limited resources available to them.
  • SO, What is an economic System?
  • An economic system is a means by which societiesor governments organize and distribute available resources, services, and goodsacross a geographic region or country.
  • HMMMMM......
  • Which one gets it?
  • Definition of Economics System.
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