Question

There are three basic economic systems: traditional economies, command economies, and market economies. For EACH economy describe how the three basic economic questions are answered:
1. What should be produced?

2. How should it be produced?

3. For whom should it be produced?

You must use complete sentences when writing your response.

Answer 1

Answer:

1. What should be produced?

Is asked to address the Type of products that we should made for the market. The product that we have should offer some sort of value to the costumers so they have a reason to purchase it. So we need to identify a problems that exist in the market, and create a product that offer a solution to that problem.

2. How should it be produced?

Is asked to address the production technique and materials that we implement to produce the product. Things such as machinery, land, and type of labors that we use will be addressed in this question.

3. For whom should it be produced?

Is asked to address The target Customers. They are the people that we expect to buy our product. We will divide the people in the market by a certain characteristics (could be be based on lifestyle, age, gender, or occupations) and create a specific products to address the problems that they face.