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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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