Which One of the Following Would Reduce the Efficiency of the Market

question 141

Multiple Choice

Which one of the following would reduce the efficiency of the market process?

• A) promoting competitive markets
• B) protecting persons from fraud and theft
• C) providing a stable monetary environment
• D) protecting consumers by imposing legally mandated price ceilings

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Definitions:

Physiological Variables

Biological measurements that can change in response to internal and external conditions, such as heart rate, blood pressure, and hormone levels.

Guilty-knowledge Test

A psychological assessment tool used to determine if an individual has knowledge privy only to someone involved in a crime, by measuring physiological responses to stimuli.

Lie-detector Test

A lie-detector test, also known as a polygraph, measures physiological responses believed to indicate stress or deception when a person answers questions.

Polygraph Tests

Scientific tests that measure physiological responses, such as heart rate and blood pressure, to questions asked, purportedly to determine truthfulness.