Which of the following statements best describes the role played by prices in a command economy such as the former Soviet Union?
A. Prices were used to allocate resources.
B. Prices played the same role as in a market economy.
C. Prices were used to ration final goods and services but not to allocate resources.
D. Prices were not used at all.
Answer: C
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Which of the following does not occur in resolving a debt crisis?
A) Debts are restructured B) Repayment periods are shortened C) Interest rates are reduced D) Some partial debt forgiveness
Which of the following will improve your salary bargaining position
a. Wait until the large project you were integral to is completed b. Wait until your employer has hired many others with similar skills as yours' c. Wait until your employer has invested greatly into the long-term project you lead d. At the very outset of a project that you will lead
Why should the CPI base year be changed periodically?
What will be an ideal response?
A typical trend line drawn through a series of business cycles
a. is horizontal, indicating that the economy always returns to equilibrium b. is horizontal, indicating that economic phases offset each other c. is downward sloping, indicating that the unemployment rate decreases over time d. is upwards sloping, indicating that the unemployment rate decreases over time e. is upward sloping, indicating an annual rate of growth that is greater than zero