ECONOMICS
TECHNOLOGY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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how to produce
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what to produce
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when to produce
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for whom to produce
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Detailed explanation-1: -A headline reads: “High Tech Firms Begin Producing New Generation of Computers.” What basic economic question is being addressed in this headline? with a given set of resources, they produce the good at a lower opportunity cost.
Detailed explanation-2: -An economic system is any system of allocating scarce resources. Economic systems answer three basic questions: what will be produced, how will it be produced, and how will the output society produces be distributed?
Detailed explanation-3: -Explanation: When firms in an economy start producing more computers and fewer televisions, they are answering the “what” question. A firm answers the “what” question when we ask the type of product a firm is producing. When we ask “when” from the firms, it depicts the time when the firms will be producing the product.
Detailed explanation-4: -Four key economic concepts-scarcity, supply and demand, costs and benefits, and incentives-can help explain many decisions that humans make.
Detailed explanation-5: -Economic Systems. The way in which a society answers the three fundamental economic questions is called an economic system. More formally, an economics system is a process or mechanism for answering the three fundamental questions.