The First Fundamental Theorem of Welfare Economics requires
A. producers and consumers to be price takers.
B. that there be a market for every commodity.
C. that the economy operate at some point on the utility possibility curve.
D. all of these answer options are correct.
D. all of these answer options are correct.
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The Coase Theorem implies that when there are no costs to trading, _____
a. resources will move to their most valued uses, depending upon who gets the initial property rights b. resources will move to their most valued uses, regardless of who gets the initial property rights c. resources might be misallocated, depending upon the who gets the initial property rights d. resources might be misallocated, regardless of who gets the initial property rights
A competitive equilibrium is described by
A) a price only. B) a quantity only. C) the excess supply minus the excess demand. D) a price and a quantity.