A Market System Tends to Restrict Business Risk to Owners

question 45

Multiple Choice

A market system tends to restrict business risk to owners and investors.This results in which of the following benefits?

• A) A more stable macroeconomy with fewer recessions.
• B) Firms are better able to attract inputs,as these inputs do not have to share the risk.
• C) Government agencies are better prepared to help when businesses fail.
• D) Consistently lower prices for consumers.

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Definitions:

Adult's Brain

A mature human brain that has reached full development, typically by the mid-20s, characterized by complex cognitive capacities.

Newborn's Brain

Refers to the brain of a newborn child, characterized by rapid development and high plasticity during the first few years of life.

Synapses

The junctions between neurons through which they communicate with each other using chemical or electrical signals.

Axons

Long, slender projections of nerve cells that transmit electrical impulses away from the neuron's cell body to other neurons or muscles.