Three Main Conditions Are Necessary for General Equilibrium to Hold

question 20

Multiple Choice

Three main conditions are necessary for general equilibrium to hold in the market economy.The first requires that all consumers are in equilibrium meaning that all beneficial exchanges have been made between them.The second is that all inputs are employed in their best use meaning that costs are as low as possible for everything being produced.The third condition requires that

• A)The right mix of goods is being produced
• B)The distribution of income is done according to the societal values so that all the contract curves can be reached
• C)All citizens are risk averse in large decisions and risk lovers in small decisions
• D)Majority voting rules apply to all public decisions

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Definitions:

White-Collar Criminals

Individuals who commit non-violent crimes for financial gain, often within their employment or financial sectors.

Blue-Collar Criminals

Individuals who commit crimes related to their manual labor occupations or economic status, contrasting with white-collar crimes committed by those in higher socioeconomic positions.

Lighter Sentences

The imposition of penalties or sentences that are perceived as less severe or lenient than what could be expected given the nature of the crime.

White-Collar Deviance

Illegal or unethical acts committed by individuals in professional or managerial positions during the course of their occupation.