Economic Production and Market Decisions

Mr. Matamira explains the three basic economic questions: what to produce, how to produce, and for whom to produce. He discusses the limitations of resources and the need for producers to make choices. The video covers examples of production choices, such as labor vs. capital-intensive methods, and the importance of identifying the target market. The session concludes with a recap of the key points.

What is the main challenge that economic questions aim to address?

• Eliminating the need for production

• Reducing the number of wants

• Increasing the number of resources

• Balancing limited resources with unlimited wants

Which of the following is an example of the question 'What to produce?'

• Choosing between labor and machinery

• Identifying the target market

• Determining the price of goods

• Deciding between making wallets or shoes

Why must producers decide 'What to produce?'

• Because resources are limited

• To increase market competition

• To reduce production costs

• To expand their business

What does labor-intensive production primarily rely on?

• Financial capital

• Natural resources

• Advanced technology

• Human labor

Which production method uses more machinery than human labor?

• Capital-intensive production

• Labor-intensive production

• Resource-intensive production

• Market-driven production

What is a key consideration in the question 'For whom to produce?'

• Selecting the raw materials

• Determining the cost of production

• Choosing the production method

• Identifying the target market

Which of the following is an example of deciding 'For whom to produce?'

• Setting the price of the product

• Making shoes for adults or kids

• Choosing between labor and machinery

• Deciding on the production location

Why is it important to identify the target market?

• To increase the number of products made

• To expand the business globally

• To ensure the product meets the needs of the intended consumers

• To reduce production costs

What are the three basic economic questions?

• What to invest in, how to invest, when to invest

• What to buy, how to buy, where to buy

• What to sell, where to sell, how to sell

• What to produce, how to produce, for whom to produce

What is the purpose of the recap section in the video?

• To introduce new economic concepts

• To discuss future economic trends

• To provide detailed examples

• To summarize the three economic questions