Which of the Following Statements Most Accurately Identifies a Serious

question 32

Multiple Choice

Which of the following statements most accurately identifies a serious limitation of the free-market economic system?

• A)Free-market economies have been unable to create wealth as rapidly as other types of economic systems.
• B)Free-market economies offer little opportunity for the poor to work their way out of poverty.
• C)Free-market economies result in a very unequal distribution of wealth.
• D)Free-market economies often are plagued by shortages of needed consumer goods.

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Definitions:

Pure Food and Drugs Act

An early 20th-century law aimed at regulating the labeling and safety of food and pharmaceuticals in the United States.

Food and Drugs

Pertains to regulations and standards that govern the safety, efficacy, and labeling of food, drugs, and cosmetics to protect public health.

Federal Legislation

Laws enacted by the national government of a country, in the case of the United States, laws passed by Congress and signed by the President.

Cease-and-desist Order

A legal order issued by a government agency or court to a person or entity to stop allegedly illegal activities.