Which of the Following Is a Key Difference Between the Economic

question 155

Multiple Choice

Which of the following is a key difference between the economic activities of government and those of private firms?

• A) Private firms face the constraint of scarcity; government does not.
• B) Government focuses primarily on equity; private firms focus only on efficiency.
• C) Private economic activities create externalities; government activities do not.
• D) Government has the legal right to force people to do things; private firms do not.

---

Definitions:

Secondary Category

A classification level that exists beneath the primary category, further dividing and specifying subjects or items.

Sexual Orientation

An inherent or immutable enduring emotional, romantic, or sexual attraction to other people.

Diversity Competency

The ability to interact effectively with people from different cultures, backgrounds, and beliefs.

Intellectual Openness

The willingness to consider and engage with diverse ideas and perspectives.