Question

In a socialist economy, how are the basic problems of scarcity and allocation of limited resources addressed?
by production for both need and profit
by production for neither need nor profit
by production for use or need
by production for profit

Answer 1

When we say socialist economy, we can say that the distribution of goods and services in the market are being owned and ran by a group of people. In this kind of economy, how basic problems of scarcity and limited resources are addressed by production for use or need. The answer is the third option.