Question

In an undeveloped economy, the production techniques are _______.

• A. backward
• B. advanced
• C. forward
• D. don't improve over a period of time.

Answer 1

Answer: (A)

backward

In an undeveloped economy, the production techniques are backward. These countries use the traditional methods of production and hence their production sector remains underdeveloped. Also these countries neither have the capital nor the skills and technology to acquire and use modern methods of production.