Under a Perfectly Competitive Price System

question 21

Multiple Choice

Under a perfectly competitive price system

• A)an equitable allocation of the available resources will always result.
• B)there is no opportunity for individuals to trade amongst themselves.
• C)there is no reason to expect that voluntary trading will result in an equitable allocation of the available resources.
• D)None of the above will result.

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Definitions:

Confidence Interval

An encompassing array of values, from sample data statistics, perceived to contain the unknown value of a population parameter.

Population Mean

The average of all the values in a population, representing the central tendency.

Standard Deviation

An index that gauges the degree of fluctuation or deviation within a group of data entries.

Null Hypothesis

A default hypothesis that there is no effect or no difference, and it is the assumption to be tested in statistical hypothesis testing.