Private entrepreneurs are likely to make better investment decisions than central planners because
A) failure of a government project will reduce the personal wealth of the planners involved in the decision.
B) the entrepreneurs can often turn a project's failure into a request for additional funding to rectify the "problem".
C) the entrepreneurs seek ever larger budgets, while planners will be more focused on cost reductions and efficiency.
D) the entrepreneurs who make mistakes must bear the costs of these mistakes
D) the entrepreneurs who make mistakes must bear the costs of these mistakes
You might also like to view...
The experience of the HPAEs has brought attention to predictions about income inequality made by Kuznets. He predicted that at first income inequality would ________ as economies began to develop. In the HPAEs experience it ________
A) rise; rose B) decrease; decreased C) rise; fell D) fall; rose E) There was no pattern.
In the long run a company that produces and sells organic tofu incurs total costs of $1,200 when output is 1,200 units and $1,650 when output is 1,400 units. The tofu company exhibits
a. diseconomies of scale because total cost is rising as output rises. b. diseconomies of scale because average total cost is rising as output rises. c. economies of scale because total cost is rising as output rises. d. economies of scale because average total cost is falling as output rises.