An Economic Philosophy Thaemphasizes the Free Movemenogoods, Capital, and Services

question 66

Multiple Choice

An economic philosophy thaemphasizes the free movemenogoods, capital, and services, with cuts to public expenditures for social services is called

• A)redistribution.
• B)neo-liberalism.
• C)subsistence.
• D)allocation of resources.

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Definitions:

Long-Run Equilibrium

A state in which all firms in an industry are producing at their minimum long-run average cost and are earning normal profits.

Units of Output

The measurable amount of goods or services produced by a company or industry.

Internal Economies of Scale

cost advantages that a firm obtains due to expansion, leading to a decrease in the average cost per unit.

Plant

A facility where goods are produced or processed, also referring to the physical capital in production.