Economic Questions

Only available on StudyMode
  • Download(s) : 196
  • Published : September 18, 2012
Open Document
Text Preview
Economic Questions

“Why would a developing nation answer the three basic economic questions differently than a country like the United States?”

There are three basic economic questions that each and every society must answer to. The way that the society answers to these questions shape and define their economic system. The first economic question that they must answer to is “What Goods and Services Should We Produce?” The second question is “How Should We Produce Goods and Services?” The final question that a society must answer to is “For Whom Should We Produce Goods and Services?” Every society will most likely answer differently to each of these questions. The question asked was “Why would a developing nation answer the three basic economic questions differently than a country like the United States of America?” A country which has yet to become developed would answer these questions differently because most likely their economy is already bad, and they would be very careful to take time in answering these questions so that their economy won’t become worse. The first question asked was “What goods and services should we produce.” First off they would produce the basic needs of their people. These basic needs include food, shelter, and clothing. After they have fulfilled the people’s needs then they should consider consumer goods. They would have to produce these with the rest of their limited resources. Developing countries would be less concerned in producing things for individuals, but more concerned with developing more jobs for their people and trying to increase their standards. In the U.S however, the people would be more concerned with individual things like cars, homes, washing machines, and other thing of that nature. Some other questions that may come up while evaluating this question may be questions like “Which skills, resources and materials does a country have.” “How can these be utilized...
tracking img