Which of the Following Statements Expresses the Justification for Making

question 85

Multiple Choice

Which of the following statements expresses the justification for making efficiency the first goal of economic interaction?

• A)Efficiency gives the poor an incentive to improve their economic status.
• B)Since the consensus on what is a fair distribution of goods is impossible,efficiency is the next best goal.
• C)People are not really concerned about the problems of the poor.
• D)Efficiency maximizes total economic surplus and thereby allows other goals to be more fully achieved.

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Definitions:

World Bank

An international banking institution dedicated to providing poorer countries' governments with the financial support needed for capital project development.

Federal Reserve

The central banking system of the United States, responsible for regulating the nation's monetary policy and financial institutions.

Export Promotion

Government policies or initiatives aimed at encouraging or supporting local producers to increase their sales abroad, often as a strategy to boost economic growth.

Industrial Production

The total output of a country's manufacturing, mining, and utilities segments.