All of the Following Statements Are Correct Except

question 61

Multiple Choice

All of the following statements are correct except

• A)firms coordinate economic activity when they can perform a task more efficiently than markets can.
• B)Nobel Laureate Ronald Coase stated that firms cannot be more efficient than markets.
• C)markets can coordinate production.
• D)firms are often more efficient than markets as coordinators of economic activity because they can achieve lower transactions costs, economies of scale, economies of scope, and economies of team production.
• E)outsourcing is an example of market coordination.

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Definitions:

Confrontational

Characterized by or inclined towards direct opposition or conflict.

Regional Clusters

Geographical concentrations of interconnected companies, specialized suppliers, and service providers, which can foster improved productivity and innovation.

Nonverbal Communication

The process of conveying a message without the use of words, which can include gestures, body language, facial expressions, and more.

Population Density

The number of individuals living in a defined area, such as a square kilometer or mile, indicating how crowded the area is.