Which of the Following Statements Is False

question 153

Multiple Choice

Which of the following statements is false?

• A)Critics feel that wage and price controls interfere with the price mechanism.
• B)Sweden has one of the world's most equal distributions of income,but also has a relatively low standard of living.
• C)In the former Soviet Union,most of the crops were produced on collective farms.
• D)The price system is based on supply and demanD.

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Definitions:

Profit-Maximizing

A strategy or approach used by businesses to determine the price and output level that generates the maximum amount of profit.

Marginal Cost

The cost of producing one additional unit of a product or service.

Marginal Revenue

Marginal revenue is the additional income received from selling one more unit of a good or service, important for businesses in determining optimal production levels.

Long Run

A period in economics during which all inputs, including capital, are variable, allowing firms to adjust all aspects of production.