Explain the central problem of ’for whom to produce’?

1.	Explain the central problem of ’for whom to produce’?
Answer» <html><body><p></p>Solution :This studies the problem of distribution of final goods and services or the problem of distribution of income.It has two <a href="https://interviewquestions.tuteehub.com/tag/aspects-885713" style="font-weight:bold;" target="_blank" title="Click to know more about ASPECTS">ASPECTS</a>. The first aspect relates to <a href="https://interviewquestions.tuteehub.com/tag/personal-590834" style="font-weight:bold;" target="_blank" title="Click to know more about PERSONAL">PERSONAL</a> distribution and the second aspect relates to functional distribution.Personal distribution refers to output/income share of individuals or households in society.Functional distribution refers to income share of different <a href="https://interviewquestions.tuteehub.com/tag/factors-458933" style="font-weight:bold;" target="_blank" title="Click to know more about FACTORS">FACTORS</a> of production.Here, the problem is whether <a href="https://interviewquestions.tuteehub.com/tag/allocation-373131" style="font-weight:bold;" target="_blank" title="Click to know more about ALLOCATION">ALLOCATION</a> of resources is promoting equality or not.Equality is a social virtue, and inequality may induce <a href="https://interviewquestions.tuteehub.com/tag/high-479925" style="font-weight:bold;" target="_blank" title="Click to know more about HIGH">HIGH</a> saving, investment and hence high rate of growth.</body></html>

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