Title: Explain the three basic economic questions answered by any economy.
Course: Principles of Business and Marketing (12051-18) > Section: Understanding the Role of Economics in a Global Economy

Identification should include addressing the following questions:

- What goods and services should be produced?
- How should they be produced?
- For whom should they be produced?

Process/Skill Questions:

- How does an economy determine what goods and services should be produced?
- What factors should be considered when deciding how goods and services should be produced?
- What factors should be considered when deciding for whom goods and services should be produced?
- Are there situations in which one of the basic economic questions is more important or more difficult to answer than the other two? Explain.
- What is a free market?
- What are capital goods?
- How do needs and wants contribute to the production of goods and services?