When Collective Decision Making Is Utilized to Resolve Economic Questions

question 82

Multiple Choice

When collective decision making is utilized to resolve economic questions regarding the allocation of resources, then:

• A)​everyone will receive an equal share of the output produced.
• B)​the preferences of individuals are of no importance.
• C)​economic efficiency will be assured.
• D)​the role of markets will be replaced by political decision making.

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Definitions:

Nonparametric Test

A different phrasing for nonparametric statistics, these are tests used for analyzing data when the assumptions for parametric tests cannot be met, focusing on the ranks or orders of the data.

McNemar

A statistical test used to determine if there are differences on a dichotomous dependent variable between two related groups.

Fisher's Exact

A statistical significance test used in the analysis of contingency tables where sample sizes are small.

Expected Frequency

The number of occurrences predicted in a category of a contingency table based on probabilistic models.