Which of the Following Is True

question 8

Multiple Choice

Which of the following is true?

• A)Successful firms have lower transactions costs than markets do
• B)A legal system that protects ownership rights is critical to the efficient functioning of firms and markets
• C)Markets measure and reward performance
• D)Markets allocate resources to their highest value use
• E)All of the choices

---

Definitions:

Freud

Sigmund Freud, an Austrian neurologist best known as the founder of psychoanalysis, a method for treating psychopathology.

Rest Cure

A medical treatment for mental health issues, prevalent in the late 19th and early 20th centuries, involving prolonged bed rest and isolation.

Institutionalization

The process or policy of placing individuals in an institution such as a prison, hospital, or care facility often for long-term care or treatment.

Psychotherapy

A therapeutic treatment modality that aims to help individuals understand and change complex, deep-seated, and often unconsciously based emotional problems, behaviors, and thoughts through verbal and psychological techniques.