The Source of the Inefficient Use of Artificially Scarce Goods

question 74

Multiple Choice

The source of the inefficient use of artificially scarce goods is similar to the source of inefficiencies created by:

• A)externalities.an
• B)oligopoly.
• C)price discrimination.
• D)a natural monopoly.

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Definitions:

Conversion

The act of changing something into a different form or entity, often used in marketing to refer to turning prospects into customers.

Cash-Basis Accounting

An accounting method where revenues and expenses are recorded when cash is received or paid, rather than when earned or incurred.

Accrual-Basis

An accounting method where revenue and expenses are recorded when they are earned or incurred, regardless of when the cash is received or paid.

Liquidity-Basis

A measurement or approach focusing on how quickly assets can be converted into cash without affecting their value.