In a laissez-faire economy, the price system plays a key role in
a. selecting outputs.
b. selecting inputs.
c. distributing outputs.
d. All of the above are correct.
d
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Explain why the average cost curve for the long run differs from that for the short run
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. For this economy to move from Point B to Point C so that an additional 20 OLED televisions could be produced, production of LCD televisions would have to be reduced by
A. more than 30. B. exactly 60. C. fewer than 30. D. exactly 30.
During the period of industrialization in the U.S., real income in the agricultural sector fell
Indicate whether the statement is true or false
Because of scarcity, rationing is
A) unimportant because people get what they want. B) necessary because people cannot get everything they want. C) unimportant because prices clear markets. D) not a problem because governments can determine what everybody wants.