Which of the Following Statements Is True of Market Prices

question 245

Multiple Choice

Which of the following statements is true of market prices in a perfectly competitive market?

• A) Market prices are determined by the government.
• B) Market prices allow for the efficient allocation of scarce resources.
• C) Market prices are not stable and fluctuate widely.
• D) Market prices do not act as incentives for buyers.

---

Definitions:

Fetal Activity Levels

Refers to the varying degrees of movement and responsiveness exhibited by a fetus, often monitored to assess health and development.

Lethargic Fetus

A term not commonly used in medical or psychological literature; possibly refers to reduced fetal activity or alertness, usually requiring medical assessment.

Motor Development

The progression of muscular coordination and the ability to move and control the body.

Physical Development

The process that starts in human infancy and continues into late adolescent concentrating on gross and fine motor skills as well as puberty.