#1.4 What to Produce, How to Produce, and For Whom to Produce?

Scarcity leads to three fundamental questions that all economies must address.

Countries always prioritize consumer goods over military equipment when deciding what to produce.

The decision of how to produce involves both economic efficiency and moral considerations.

Governments play no role in determining how resources are distributed in an economy.

In market economies, resource allocation is entirely determined by government intervention.

Some economies redistribute wealth through taxation to reduce income inequality.

The use of cheap labour in production always leads to positive economic outcomes.

Economic inequality is not an issue in emerging economies.

Governments must decide how to distribute goods and services among different groups in society.

Firms always aim to maximize profits without considering ethical implications.

Some countries allocate more resources to national defense than to consumer goods and services.

Developing economies generally have fewer issues with income inequality than developed economies.

Healthcare funding in Africa is evenly distributed across all countries.

The World Bank and private charities contribute significantly to healthcare funding in Africa.

Healthcare funding in Africa is sufficient to meet the needs of all citizens.

Opportunity cost does not apply to government decisions regarding healthcare funding.

Governments in Africa allocate equal proportions of their budgets to healthcare.

Resource allocation decisions reflect a society\’s priorities and values.

The private sector does not contribute to healthcare funding in Africa.

The three fundamental economic questions are irrelevant in modern economies.