WAEC Economics 1995 Question 3

Question 3

Economic Systems

The decision on what to produce is a problem in

  1. A.all economic systems
  2. B.a mixed economic system only
  3. C.a democratic socialist economy only
  4. D.a free enterprise system only
  5. E.a planned economic system only
Show the answer and explanation

Answer: A (all economic systems)

Explanation

Because resources are scarce everywhere, every economic system must decide what to produce.