Two major virtues of the market system are that it: allocates resources efficiently and allows economic freedom. results in an equitable personal distribution of income and always maintains full employment. results in price level stability and a fair personal distribution of income. eliminates discrimination and minimizes environmental pollution.

Two major virtues of the market system are that it: allocates resources efficiently and allows economic freedom. results in an equitable personal distribution of income and always maintains full employment. results in price level stability and a fair personal distribution of income. eliminates discrimination and minimizes environmental pollution.

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter29: Economies In Transition

Section: Chapter Questions

Problem 7SQ

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The list below describes characteristics of a type of economic system. Government regulates the factors of production for goods and services. Individual and business control some factors of production. Supply and demand determine more economic production. Private property rights with some government intervention. Which economic system is most likely described by the list? Mixed-market economy Free-market economy Command economy Traditional economy
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The role of government in a market economy would include all of the following exceptmaking and enforcing laws.collecting taxes.extensive ownership of productive resources.providing services such as national defense.
The Canadian government has provided export assistance to Bombardier Inc. with its Technology Transfer Program. Is this consistent with the principles of a free market system? Explain how this might distort the system.
Which of the following is NOT characteristic of a capitalist economy? Group of answer choices private ownership of the tools and equipment needed to produce goods goods are traded directly for other goods some level of inequality between capitalists and laborers laborers paid wages for their labor (labor is commodified)
true or false free market economies are generally considered to be efficient and fair
Which of the following terms describes the set of values, beliefs, rules, language, and institutions held by a specific group of people? Culture Ethnocentricity Institutional society Social myopia
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In a command economy, the government has no role in the economy and makes no economic decisions. Select one: True False