Main economic issues

Economics is a science that affects the life of every person. Its main task is to harmonize the distribution of resources, which are known to be limited. From this statement, the basic issues of the economy become clear. In this article we will try to consider them.

What and in what quantity should be produced? This is the first question of the economy. Before anything is produced, it is necessary to decide which goods and services consumers need. The answer to this question depends on how the limited resources will be distributed among different enterprises. For example, it is decided that consumers are in dire need of kitchen stoves. Consequently, the metal will be released to the relevant enterprises, and not, say, the manufacturers of refrigerators. The correct resolution of the problem under consideration minimizes the occurrence of such problems as excessive supply and shortage of products. Consequently, the main issues of the economy are aimed, first of all, at the correct organization of the practical activities of enterprises.

How to produce? This is the second central issue of the economy. Before proceeding with the release of benefits, it is necessary to decide which method of their production is most optimal, given the limited resources. The answer to the question under consideration depends on each specific situation. For example, one way of production can be labor-intensive, another will require large capital, the implementation of the third will take a lot of time. That is, the options for using limited resources can be very different. Let us give an example. Requires a certain amount of potatoes. It can be grown with natural fertilizers and manual labor in small plots. However, you can get the necessary amount of potatoes in agricultural enterprises, with the help of mineral fertilizers and modern agricultural machinery. It is obvious that the main economic issues are resolved in different ways, depending on requirements and resources.

What is the best way to distribute services and goods? This is the third issue of the economy. After the release of products it is necessary to decide who exactly can claim it. Every historical moment offered its answer to this question. Once, good things, first of all, went to the strongest through violence. Then the equalizing system began to be used. Resources were distributed approximately equally. There is also the so-called principle of the queue. That is, the benefits go to the one who first took the place in the queue from the willing. The main economic problems of society are, among other things, the choice of the most harmonious distribution of benefits. Developed countries have practically worked out an optimal method for solving this problem. It consists in the fact that goods and services go to someone who can pay their cost, declared by the seller. Such a monetary principle is beneficial because people have a powerful incentive to work. That is, a person develops in the career plan, improves productivity, improves skills, which has a beneficial effect on the prosperity of the country as a whole. At the moment, not all major economic problems are solved, but mankind is moving towards progress towards the tasks under consideration every year. Developed countries have not yet reached absolute prosperity, but they have already worked out ways to solve urgent problems.

So, we briefly reviewed the main issues of the economy. They are relevant for almost all countries, including the least developed, because there is always a limited amount of benefits with which you need to take certain actions.