According to your textbook, markets tend to "clear" due to
A) the use of threat and coercion.
B) the competitive bidding process.
C) the intervention of expert economists.
D) a well-managed national economic plan.
B
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High inflation
A) makes money function less well as a store of value. B) lowers the price level. C) leads to a more correct allocation of resources. D) decreases uncertainty. E) makes it easier to use money as a standard of account.
What are the major differences between the new HDI and the original HDI?
What will be an ideal response?
What were some of the consequences of the large current account deficits that the U.S. ran over a long period of time that culminated in the crisis that began in 2007?
What will be an ideal response?
When deflation occurs
A) the real interest rate is greater than the nominal interest rate. B) the nominal interest rate is greater than the real interest rate. C) the nominal interest rate is equal to the real interest rate and inflation is negative. D) the nominal interest rate is equal to the real interest rate and inflation is positive.