Suppose You Were Able to Start New Cities on a Planet

question 188

Multiple Choice

Suppose you were able to start new cities on a planet in outer space. Suppose also that these cities will be self-supporting. Further, they will be democratic-with the objective of maximizing consumer welfare-measured by the level of consumer satisfaction. The economic decisions will be made through the "market mechanism." Which of the following statements might be made by some of the settlers?

• A) "The price of food is too high."
• B) "Intermediaries should be eliminated."
• C) "Advertising expenditures are too high."
• D) "Marketing costs too much."
• E) All of these statements are likely to be made.

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Definitions:

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A referendum is a direct vote in which an electorate is asked to either accept or reject a particular proposal, which can be a new law, a policy change, or a constitutional amendment.

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Cannabis used for enjoyment rather than for medical purposes, legalized in some jurisdictions under specific regulations.

Law Passed

The successful enactment of a bill into law after it has been approved by the legislative body and, usually, the head of the government.

Closed Primary

A type of primary election where only registered party members can vote to choose their party's candidates.