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Which economic problem involves selection of category of people who will ultimatly consume the goods?

Answer» <html><body><p>How to produce <br/>For whom to produce <br/>What to produce <br/>None of these.</p>Solution :B. For Whom to Produce: This problem is concerned with the distribution of income in an economy. It is concerned with whether to produce goods for high-income groups or low-income groups. The capacity of people to pay for goods <a href="https://interviewquestions.tuteehub.com/tag/depends-948548" style="font-weight:bold;" target="_blank" title="Click to know more about DEPENDS">DEPENDS</a> upon their level of income. Thus, this problem is concerned with distribution of income among factors of production who <a href="https://interviewquestions.tuteehub.com/tag/contribute-409828" style="font-weight:bold;" target="_blank" title="Click to know more about CONTRIBUTE">CONTRIBUTE</a> in the production process.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> :(i) Personal distribution: It means how the national income of an economy is distributed among different groups of people in the society.(ii) <a href="https://interviewquestions.tuteehub.com/tag/factorial-982816" style="font-weight:bold;" target="_blank" title="Click to know more about FACTORIAL">FACTORIAL</a> distribution: It <a href="https://interviewquestions.tuteehub.com/tag/relates-1183217" style="font-weight:bold;" target="_blank" title="Click to know more about RELATES">RELATES</a> to income share of different factors of production such as wages for labour, interest for capital, rent for land etc.</body></html>


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