Market mechanism O always allocates resources efficiently to their respective uses O rarely allocates resources efficiently O does not need the government to correct market failures O would generate a shortage if the price is set above equilibrium by the interference of authorities

Market mechanism O always allocates resources efficiently to their respective uses O rarely allocates resources efficiently O does not need the government to correct market failures O would generate a shortage if the price is set above equilibrium by the interference of authorities

MACROECONOMICS

14th Edition

ISBN:9781337794985

Author:Baumol

Publisher:Baumol

Chapter4: Supply And Demand: An Initial Look

Section: Chapter Questions

Problem 4TY: The following table summarizes information about the market for principles of economics textbooks:...

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Question

Choose correct option and small explanation please give in just 10 mins please ?

Market mechanism
O always allocates resources efficiently to their respective uses
O rarely allocates resources efficiently
O does not need the government to correct market failures
O would generate a shortage if the price is set above equilibrium by the
interference of authorities

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