The Basic Postulate of Economics Indicates That Changes in Incentives

question 250

Multiple Choice

The basic postulate of economics indicates that changes in incentives influence the:

• A) actions of producers but not consumers.
• B) actions of consumers but not producers.
• C) choices of individuals only when they buy and sell goods in the marketplace.
• D) choices of individuals with regard to a wide range of activities, including those generally perceived as social or political.

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Definitions:

Short-Lived

Having a brief existence or duration; not lasting for a long time.

Violent Protests

Public demonstrations that involve aggressive behaviors, including harm to people or property, to express opposition against policies or actions.

Socially Unstable Protest

Demonstrations or movements that arise in contexts of social instability, often reflecting widespread discontent or demands for change.

Collectivization

The process of transforming private assets or properties into collective ownership, typically under governmental or communal control, often associated with agricultural reforms in socialist contexts.