Friedrich Hayek

Multiple Choice

Friedrich Hayek

A) believed that central planning would break down mainly due to problems associated with information gathering.
B) argued that central planning could be informationally efficient.
C) believed that only a democratic government, where individuals can make their preferences known by voting, could be informationally efficient.
D) criticized the market system as informationally inefficient.
E) argued that informational inefficiency would be the market's undoing.