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    Which is a central problem of an economy?
    Question

    Which is a central problem of an economy?


    A.

    Allocation of Resources


    B.

    Allocation of Resources, Optimum Utilisation of Resources, Economic Development 


    C.

    Optimum Utilisation of Resources


    D.

     Economic Development

    Correct option is B

    Every economy faces three fundamental problems:

    • Allocation of resources (what to produce, how to produce, for whom to produce).

    • Optimum utilization of resources (avoiding waste).

    • Economic development (growth and progress).

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