In a market economy, prices are the signals that guide the allocation of scarce resources
a. True
b. False
Indicate whether the statement is true or false
True
Economics
You might also like to view...
It takes a machine 2 hours to make a unit of Good X, and 1 hour to make a unit of Good Y. If the machine can be used for 10 hours, which of the following combinations will lie on its production possibilities curve?
A) 5 units of Good X and 2 units of Good Y B) 3 units of Good X and 4 units of Good Y C) 2 units of Good X and 2 units of Good Y D) 6 units of Good X only
Economics
An externality
a. results in an equilibrium that does not maximize the total benefits to society. b. causes demand to exceed supply. c. strengthens the role of the "invisible hand" in the marketplace. d. affects buyers but not sellers.
Economics