Who decides how the goods and services will be produced?
A command economy is an economic system in which the government, or the central planner, determines what goods and services should be produced, the supply that should be produced, and the price of goods and services.
How should goods and services be produced in a mixed economy?
In a mixed economy both market forces and government decisions determine which goods and services are produced and how they are distributed. The government does not direct the private sector to produce certain goods and services in certain quantities at certain times.
How economic resources determine what goods and services will be produced?
Consumers, firms, and the government determine what good and services will be produced by the choices they make. Who receives the goods and services produced depends largely on how income is distributed. centrally planned economy. an economy in which the government decides ow economic resources will be allocated.
What to produce explain?
‘What to Produce’ is a problem related to the selection of goods and services to be produced. An economy has to decide whether to produce consumer goods such as rice, wheat, clothes, etc. or to produce capital goods such as machinery and equipment.
What is eco production?
Production is a process of combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (output). It is the act of creating an output, a good or service which has value and contributes to the utility of individuals.
How do you produce is related to?
How to produce refers to the technique of production. The problem of choice emerges because there are more than one way of producing goods and services. Broadly there are two techniques of production : Capital intensive technique.
What is definition of supply?
Supply is a fundamental economic concept that describes the total amount of a specific good or service that is available to consumers. Supply can relate to the amount available at a specific price or the amount available across a range of prices if displayed on a graph.