Central planning is an ineffective method to organize an economy because
A) central planners do not respond predictably to incentives.
B) central planners cannot possibly obtain all the information necessary to allocate resources efficiently.
C) most central planners are less intelligent than business entrepreneurs in market economies.
D) central planners have inadequate funding to meet the needs of their constituents.
B) central planners cannot possibly obtain all the information necessary to allocate resources efficiently.
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Which of the following is not one of the ways that the German government ended the hyperinflation of the 1920s?
A) replacing the existing mark with a new mark B) negotiating a new agreement with the Allies (the United States, Great Britain, France, and Italy) that reduced its reparations payments C) reducing government expenditures and raising taxes to balance its budget D) raising the required reserve ratio to reduce bank loans
The number of people living in urban areas fell after the Civil War and then increased as World War I approached
Indicate whether the statement is true or false
Each of the following, except one, can explain why a given job pays a compensating wage differential. Which is the exception?
a. The job requires costly training. b. The job is dangerous. c. The job is in a city with a high cost of living. d. The job requires a very high level of physical exertion. e. An increase in product demand raises the demand for labor in this job.
Net exports is defined as
A. exports plus imports. B. exports minus imports. C. imports minus exports. D. that portion of consumption and investment goods sent to other countries.