Which of the Following Statements Best Characterizes a Basic Difference

question 29

Multiple Choice

Which of the following statements best characterizes a basic difference between market economies and centrally planned economies?

• A)Society relies more upon prices to allocate resources when the economy is centrally-planned than when it is market-based.
• B)The self-interest of households is reflected more fully in the outcome of a centrally-planned economy than in the outcome of a market economy.
• C)Government plays a larger role in the economic affairs of a market economy than in the economic affairs of a centrally planned economy.
• D)None of the above are correct.

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Definitions:

Vestibule

An entryway or antechamber leading to the main part of a building, or the central cavity of the labyrinth of the inner ear.

Auditory Ossicles

The three small bones in the middle ear that transmit sound vibrations from the eardrum to the inner ear.

Endolymph

Fluid found within the membranous labyrinth of the inner ear.

Perilymph

The fluid that lies between the membranous and bony labyrinth of the inner ear, aiding in hearing and balance.