Question

“What to produce” is a central problem that deals with which of the following questions?

1. What technique of production to use?
2. What type of goods to produce?
3. Which income group to produce for?
4. What quantity of goods to produce?

Choose the correct answer from the options given below:

• A. (A), (B), and (D) only
• B. (B) and (D) only
• C. (A) and (D) only
• D. (B), (C), and (D) only

Answer 1

Answer: (B)

(B) and (D) only

Answer 2

The “what to produce” problem in economics revolves around the choice of goods and services that should be produced in an economy. This decision depends on the types of goods to produce, and the quantity required to satisfy market demand. Choices like “what technique to use” or "for whom to produce" fall under different economic questions such as “how to produce” or “for whom to produce.” Hence, the correct answer is (B) and (D).