Which of the Following Statements Is FALSE

question 57

Multiple Choice

Which of the following statements is FALSE?

• A)Compared to most other economically developed nations,the U.S. devotes a smaller percentage of its resources to government.
• B)The United States,more than Western European democracies,displays a preference for free markets.
• C)The U.S.,more than Western European democracies,displays a preference for limited government.
• D)The United States,more than Western European democracies,displays a preference for more generous social welfare benefits.
• E)All of these are false.

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Definitions:

Price Discrimination

A pricing strategy where a seller charges different prices for the same product or service to different customers, based on factors like willingness to pay, market conditions, or customer attributes.

Deadweight Loss

Deadweight loss occurs when an economy's total welfare is not maximized, resulting from inefficiencies such as taxes or subsidies that distort market equilibrium.

Pure-monopoly Market

A market structure where a single firm has the exclusive control over the supply of a product or service, with no close substitutes available, allowing for price setting.