Which of the Following Does Not Describe a Pure Market

question 135

Multiple Choice

Which of the following does not describe a pure market economy?

• A)​The choices of buyers and sellers determine the market prices of goods and services.
• B)​Prices serve as signals to buyers and sellers.
• C)​Prices and outputs of most goods and services are stable over time.
• D)​Owners of resources in greater demand by others tend to have higher incomes.

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Definitions:

Cognitive Perspective

A psychological approach that focuses on how people perceive, think about, and understand their world and the mental processes that underlie behavior.

Mental Processes

Internal cognitive operations that include thinking, perceiving, and decision-making.

Problem Solving

The process of finding solutions to difficult or complex issues.

Sigmund Freud

An Austrian neurologist known as the founding father of psychoanalysis, a method for treating psychopathology through dialogue between a patient and a psychoanalyst.