If perfect competition existed everywhere, along with frictionless exchange, perfect information, and constant returns to scale,
a. consumers would carry out transactions directly with resource suppliers
b. firms would not have the information necessary to calculate marginal productivities of resources
c. entrepreneurs would be needed to collect information
d. consumers would produce output and then engage in barter
e. the economy would be organized into one large firm
A
You might also like to view...
Lowering the legal reserve requirement might not result in an increase in the money supply if
a. tax rates are also lowered at the same time b. tax rates are increased at the same time c. borrowers are unwilling to borrow the new funds the banks have available for loans d. borrowers are willing to borrow the new funds the banks have available for loans e. borrowers expand their borrowing because of the lower interest rates that banks offer
If a candidate for political office was espousing a "pro-growth" agenda and was focused on universal and free college education, this would have its greatest impact on growth through which source?
A. An increase in economic freedom B. An increase in the number of workers C. An increase in the productivity of workers D. None of these