When the Price System Fails to Generate an Efficient Allocation

question 144

Multiple Choice

When the price system fails to generate an efficient allocation of resources

• A) the market will always correct it.
• B) consumers will spend less.
• C) business will produce more.
• D) too few or too many goods will be produced.

---

Definitions:

Olfactory Cells

Specialized sensory cells located in the olfactory epithelium of the nose, responsible for detecting odor molecules and sending signals to the brain.

Nasal Cavity

The hollow space within the nose and skull that is lined with mucous membrane and functions in air passage, olfaction, and filtration of dust and pathogens.

Ciliated Pseudostratified Columnar Epithelium

A type of epithelial tissue lining the respiratory tract, characterized by a single layer of cells that appears stratified and has cilia.

Inner Lining

Referring to the interior surface covering or layer of an organ or structure, often associated with protective or absorptive functions.