The Essential Coordinating Mechanism of a Free-Market Economy Is

question 91

Multiple Choice

The essential coordinating mechanism of a free-market economy is

• A)allocative efficiency.
• B)productive efficiency.
• C)profit maximization.
• D)the price system.
• E)opportunity cost.

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Definitions:

Revised Model Business Corporation Act

A set of laws recommended for adoption by state legislatures in the United States to standardize the regulation of corporations across states.

Shareholders

Individuals or entities that own shares in a corporation, giving them ownership interests and possibly rights to dividends and voting in company affairs.

Quorum

The minimum number of members of a deliberative body necessary to conduct the business of that group.

Special Shareholder Meeting

A meeting outside the scheduled annual shareholder meetings, often called to discuss and vote on urgent issues.