Three basic decisions must be made by all economies. What are they?
A) How much will be produced; when will it be produced; who will produce it?
B) What goods will be produced; how will goods be produced; for whom will goods be produced?
C) What will be consumed; how will goods be consumed; for whom will goods be consumed?
D) How will the opportunity cost principle be applied; if the law of comparative advantage will be utilized, how will it be utilized; will the production possibilities constraint apply?

Question

Quizplus · Accepted Answer

The three basic economic questions every economy must answer are: What goods and services will be produced? How will these goods and services be produced? For whom will these goods and services be produced? These questions address the allocation of resources and distribution of goods in an economy.

Three Basic Decisions Must Be Made by All Economies