Which of the following is a problem inherent in centrally planned economies?
A) There are no problems and everyone, including consumers, is satisfied.
B) There is too much production of low-cost, high-quality goods and services.
C) Production managers are more concerned with satisfying government's orders than with satisfying consumer wants.
D) Unemployment is too high.
Answer: C
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Under the old Soviet communist system, government planning was substituted for the _________________.
Fill in the blank(s) with the appropriate word(s).
For the Fed to fully eliminate the costs of inflation, how low does the inflation rate need to be?
a. 0 percent b. 3 percent c. 5 percent d. 6 percent
An upward sloping labor supply curve suggests that;
A. there is no substitution effect. B. the income effect outweighs the substitution effect. C. the substitution effect outweighs the income effect. D. None of the choices are correct.
What is the Herfindahl-Hirschman index (HHI) in this market?
a. 1550 b. 1650 c. 1750 d. 1850