When Property Rights Are Well Defined and Markets Are Competitive

question 367

Multiple Choice

When property rights are well defined and markets are competitive, the

• A) market equilibrium violates the conditions for economic efficiency.
• B) market equilibrium is consistent with economic efficiency.
• C) conditions necessary for economic efficiency no longer apply.
• D) quantity supplied will rarely equal the quantity demanded.

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Definitions:

Motivated

The state of having a drive or reason to act or accomplish something, characterized by a person's willingness or eagerness to do tasks and achieve goals.

Central Route

A pathway of persuasion that involves thoughtful consideration of the arguments and evidence in a message.

Persuasion

The act or process of influencing someone's beliefs, attitudes, or behaviors through argument, reasoning, or appeal.

Attitudes

A settled way of thinking or feeling about something, typically reflected in a person's behavior.