Which of the Following Statements Best Explains How the Use

question 96

Multiple Choice

Which of the following statements best explains how the use of money in an economy increases economic efficiency?

• A)Money increases economic efficiency because it is costless to produce.
• B)Money increases economic efficiency because it discourages specialization.
• C)Money increases economic efficiency because it decreases transactions costs.
• D)Money cannot have an effect on economic efficiency.

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Definitions:

Incumbent Governor

The currently serving governor in office, usually in the context of elections to refer to the existing officeholder.

Confidence Level

The percentage or proportion of times that an estimated interval is expected to contain the true value of the parameter.

Interval Estimate

An estimate of a population parameter that specifies a range within which the parameter is estimated to lie.

Population Parameter

Any numerical quantity that characterizes a given population or some aspect of it.