Each society faces three primary financial questions:
- What to provide?
- How one can produce?
- For whom to provide?
These questions are basic to any financial system, no matter its dimension, location, or degree of growth. The solutions to those questions decide the allocation of assets inside an financial system and the distribution of products and providers amongst its members.
The three primary financial questions are essential as a result of they assist us to know how economies work. By understanding the various factors that have an effect on manufacturing and consumption, we are able to make higher choices about the way to allocate our assets. This may result in elevated effectivity, productiveness, and financial progress.
