Multiple Choice
Which of the following statements is true?
A) Command economies do a better job at maximizing social welfare in comparison to market economies.
B) The incentive problem and the coordination problem lead to lower efficiency in market economies.
C) Central planners in command economies have to make decisions that prices would automatically have made in market economies.
D) Bringing economic agents together to trade is easier in command economies than in market economies.
Correct Answer:

Verified
Correct Answer:
Verified
Q1: The invisible hand is mostly guided by
Q3: Scenario: There are two firms producing ballpoint
Q4: Scenario: The figure on the left shows
Q5: The following graph represents the market for
Q6: The following figure shows the demand and
Q7: Scenario: The table below lists the willingness
Q8: Scenario: The rare earth element neodymium is
Q9: After the imposition of the price controls,
Q10: Differentiate between the coordination problem and the
Q11: _ relates to the distribution of resources