3. The three basic economic questions are: What to produce? __ ? And for whom to produce?

The three basic economic questions are: What to produce? How to produce? And for whom to produce?<br /><br />These questions arise because resources are scarce and cannot satisfy all human wants and needs. Therefore, societies must make choices about how to allocate their limited resources. The answers to these questions determine the allocation of resources and the distribution of goods and services within an economy.