Due to the fundamental economic problem of scarcity, every society must address three core questions: what to produce, how to produce, and for whom to produce. Which of the following scenarios describes a decision that directly addresses the question of for whom to produce?
A local authority choosing whether to designate a vacant plot of land for a community center or a public park.
A government deciding to use capital-intensive automated assembly lines rather than labor-intensive techniques to construct new public transport infrastructure.
A state health service allocating medical treatments based on patients' clinical needs rather than their individual wealth or ability to pay.
An agricultural cooperative deciding to cultivate wheat instead of barley due to a projected increase in global wheat prices.
53 exam-style questions on OCR A Level Economics The economic problem. Each one has a worked solution and a mark scheme showing where the marks go.