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Define central problem of an economy

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Define central problem of an economy

Posted by Nandani Kumari 7 years ago

CBSE > Class 11 > Economics

1 answers

Chesta Pawan Manchanda 7 years ago

There are three major central problems of an economy :1) what to produce (luxury goods or normal goods) 2) how to produce( by labour intensive or capital intensive) 3) for whom to produce ( for rich people or for poor people) . These problems caused by problem of choice.

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