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In Which System Are Decisions Made by Thousands of People

question 115

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In which system are decisions made by thousands of people who have information about resources, production technology and consumer desires?


Definitions:

Testable Prediction

A hypothesis or forecast that can be verified through experimentation or observation.

Hypothesis

A proposed explanation made on the basis of limited evidence as a starting point for further investigation.

Theory

An explanation or set of principles that has been formulated to explain phenomena, often based on general principles independent of the phenomena to be explained.

Correlation

A statistical measure that describes the extent to which two variables change together.

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