Which of the Following Is a Fundamental Difference Between a "Command

question 36

Multiple Choice

Which of the following is a fundamental difference between a "command economy" and a "market economy"?

• A)Command economies are more efficient in the allocation of resources, while market economies are less efficient in the allocation of resources.
• B)Command economies face severe scarcity of goods and services, while market economies have adequate goods and services for consumption.
• C)Command economies are less prone to inflation, while market economies are highly vulnerable to inflation.
• D)Production and distribution decisions are made by central planners in command economies, while production and distribution are made by market forces in market economies.
• E)Command economies have a decentralized system, while market economies are highly centralized.

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Definitions:

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Availability Heuristic

A cognitive shortcut where individuals estimate the likelihood of an event based on how easily examples come to mind, which can lead to biases.

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A series of coordinated terrorist attacks by the Islamic terrorist group al-Qaeda against the United States on the morning of September 11, 2001.

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Potential dangers or health concerns associated with flying, including deep vein thrombosis, exposure to radiation, and the spread of infectious diseases.