Question

Describe the guidelines for distribution of resources

Answer 1

The resources are limited thus it is vital to use the resources as efficiently as possible. Thus the basic guidelines states - What to produce?; How to produce?; For whom to produce? Thus in planned economies and in the public sectors of mixed economies, the decisions in regard to the allocation of resources are political. Within the limits of existing technology, the main guidelines states to distribute resources in an approach that obtains the maximum possible output from a given combination of resources. It should aim to remove povert and accelerate the economy.