Suppose Resources Are Directed Through the Actions of a Centralplanner

question 20

Multiple Choice

Suppose resources are directed through the actions of a centralplanner, who receives information on all the different uses ofthese resources. Why might sellers have an incentive to provideuntruthful information to the central planner?

• A)They want to be able to charge the minimum price for their product
• B)In order to continue producing their product, sellers may overstate the importance of their product.(True Answer
• )Correct
• C)The information system is too complex to provide correct information.
• D)They want resources to be able to travel to the highest value uses possible

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Definitions:

Sorted List

A list that maintains its elements in a sorted order, either ascending or descending, making it efficient for operations like searching.

Maximum Comparisons

The term usually refers to the highest number of comparisons required to complete an operation, often used in the context of sorting and searching algorithms.

Binary Search

A searching algorithm that finds the position of a target value within a sorted array by repeatedly dividing in half the portion of the list that could contain the target value.

Divide And Conquer

An algorithm design paradigm based on multi-branched recursion, breaking a problem into smaller parts, solving each part and combining the solutions.