According to your authors, the following is a necessary condition for a competitive market:

A) Large numbers of buyers and sellers
B) Full and complete information
C) Freedom of entry
D) Identical products
E) All of the above.

C

Economics

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Explain the permanent-income hypothesis and the life-cycle hypothesis. How are these hypotheses similar?

What will be an ideal response?

Economics

The equality-efficiency trade-off refers to:

A.the conflict between risk averters and risk-takers. 
B.the willingness of Congress to abandon existing welfare programs in favor of a comprehensive plan to increase education and training for low-income persons. 
C.possible conflicts between the goals of economic efficiency and greater income equality. 
D.the difference between the goals of income equality and equality of economic opportunity.

Economics