The main issues of the economy

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In the business world, there are many questions that must be answered to those active in this area of ​​life.But what are the main issues of the economy?Among the many issues and problems we will try to identify the main, which include such as: what to produce and in what quantity, how to produce, how to distribute manufactured goods and services.This will be the main issues of the economy.

main economic issues linked one common problem - limited resources.To meet the ever-growing human needs and unrestricted economy never sufficient resources.Therefore, the society objectively is always a problem: how to dispose of those limited resources that are available in order to better meet the needs of all economic actors.In other words, saying society should seek to optimize the production of goods and services.

These are the main issues of the economy and to the economically developed countries (USA, Germany, Japan and others), and to the underdeveloped (Africa) and developing countries (Brazil, India, Russia, China).

In all cases, the limited resources of society confronts major economic issues of what, how and for whom to produce?Let's try to examine them in more detail.

question of what to produce, can be solved as follows.Because you can not produce anything that would fully satisfy the needs of all members of society need to decide what kinds of production of goods and services should be preferred.

It is clear that this problem can not be solved, if only to produce the means of production, and production of consumer goods and services will be reduced to zero.In this case, people will not have food, clothing and other essential means of subsistence.It is also clear that this problem will not be solved and if the country only produce goods and services, and the issue of the means of production will be.Then society will be left without a source of energy, equipment, raw materials and other.But in this case the output of goods and services becomes impossible.

Thus, the answer to the question of what to produce, can be: you need to produce something, and more.However, it should be noted that there is a sufficiently large number of variants of such relations, which may be the production of these two groups of products.In this regard, such a response will be too general, and it is necessary to decide in each case differently, considering many factors.

Considering the fundamental questions of the economy, it is necessary to answer the second question of how to produce?

manufacturing certain range and volume of products can be done in different ways.For the manager of any enterprise raises the question of what technology should be used for output.From this choice depends on the efficiency of production, production volume and, most importantly, its quality.

We left to answer the third basic question about the economy, for whom to produce?

The answer is determined by the decision of who will pay for goods and services to buy.

What goods and services are willing to buy on their earnings or that individuals and legal entities?Which products need a state?In many ways, these answers depend on how much revenue have the economic actors, that is, how will be distributed proceeds in society, what the price will be set for products and services, what will be the behavior of buyers due to their needs, income, level of prices, and many other circumstances.

Thus, we briefly reviewed the main fundamental problems of the economy.