Consider the following economic agents:
a. the government
b. consumers
c. producers
Who, in a centrally planned economy, decides what goods and services will be produced with the scarce resources available in that economy?
A) producers
B) consumers
C) the government, consumers, and producers
D) consumers and producers
E) the government
E
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Which of the following is not included in National Income?
A) indirect taxes B) wages and salaries C) net interest D) rental income of persons
Refer to the information provided in Figure 16.3 below to answer the question(s) that follow. Figure 16.3Refer to Figure 16.3. If the firm maximizes profits and the government ________, it will produce 20 units of output.
A. does not require it to take damages into account B. establishes a price floor of $6 C. requires it to take damages into account D. establishes a price ceiling of $8