What Did Keynes and Hayek Believe About Government Central Planning

question 227

Multiple Choice

What did Keynes and Hayek believe about government central planning?

• A) Both believed that central planning could be used to allocate resources efficiently.
• B) Both believed that perverse political incentives would undermine the ability of central planners to allocate resources efficiently.
• C) Keynes believed that government central planning could improve on market outcomes; Hayek disagreed, arguing that both political incentives and insufficient information would undermine their ability to do so.
• D) Keynes believe that central planning would fail because the policy-makers did not have sufficient information to plan efficiently; Hayek believed that efficient central planning was possible if political decisions were made democratically.

Understand the importance of product differentiation and its impact on marketing strategies in different competitive markets.

Understand the principles of common law related to environmental nuisance and the defenses available.

Comprehend the requirements and entities involved in Canadian environmental assessments under the Canadian Environmental Assessment Act.

Recognize the role and implications of environmental audits and assessments in property transactions.

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Definitions:

Independent Variables

Factors in an experiment that are intentionally changed or manipulated to observe their effect on dependent variables.

Manipulated

Altered or controlled in a skillful manner, often referring to variables in scientific experiments or to influence people's behaviors or perceptions.

Dependent Variables

In an experiment, these are the variables that are tested and measured to see if they are affected by changes in the independent variables.

Progressive Relaxation

A relaxation technique that involves tensing and then slowly relaxing each muscle group to reduce stress.