In a market economy, the government's power to coerce can:
A. undermine economic efficiency by increasing private-sector risk.
B. improve economic efficiency by directing all resources to their most valued uses.
C. reduce private-sector risk and increase economic efficiency.
D. cause significant negative externalities.
Answer: C
Economics
You might also like to view...
In the United States in 2013, the Bureau of Economic Analysis began counting spending on research and development as ________, which counts as a part of GDP
A) intermediate goods B) investment C) consumption D) depreciation
Economics
Given the amount of time and other costs of investing in human capital that it takes to earn a Ph.D., why are college professors paid less than other occupations that require similar or lesser amounts of human capital?
Economics