Which of the Following Correctly Describes the Relationship Between Economic

question 137

Multiple Choice

Which of the following correctly describes the relationship between economic efficiency and economic equity?

• A)They are both automatically achieved in a free market economy.
• B)They always call for opposite outcomes.
• C)There is no conflict between the two goals.
• D)There is often a trade-off between the two.

---

Definitions:

Capital Contribution

Funds or assets provided by investors or partners to a company or partnership to support its operations and growth.

Partnership Assets

Properties or resources owned by a partnership that are used for the purpose of carrying on the partnership business.

Successor's Liability

The legal responsibility of a successor entity to bear the liabilities of its predecessor under certain conditions.

Predecessor's Obligations

Legal duties or liabilities that a previous holder or owner of a position or property owes, which may be transferred to the successor.