1.

Explain any three such fundamental problems.

Answer»

The ECONOMIC problem – SOMETIMES CALLED the basic or CENTRAL economic problem – asserts that an economy's finite resourcesare insufficient to satisfy all HUMAN wantsand needs. It assumes that human wants are unlimited, but the means to satisfy human wants are limited.

Three questions arise from this:

• What to produce?

• How to produce? &

• For whom to produce?



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