Question 146. An important part of the market system is that producers and consumers consider the public interest in making production and consumption decisions.

146. An important part of the market system is that producers and consumers consider the public interest in making production and consumption decisions.

147. Economic rivalry, or competition, requires a large number of buyers and sellers in the market.

148. More specialization in a market economy generally leads to the more efficient use of its resources.

149. A division of labor enhances society’s output by permitting people to take advantage of existing differences in their abilities and skills.

150. Exchange by barter requires a coincidence of wants.

151. One of the most important economic resources is money.

152. The return, or factor payment, to suppliers of property resources is called profit.

153. If economic profit exists in an industry, resource suppliers will be enticed into expanding the industry.

154. The concept of consumer sovereignty refers to situations in which consumers are represented on the board of directors of large corporations.

155. Economic efficiency entails getting the smallest amount of output from a given level of input of scarce resources.

156. In the market system, prices tend to guide resources from less important to more important uses as the market system accommodates change.

157. In a competitive market economy, firms and resource suppliers will seek to further their own self-interest, but at the same time, as if guided by an “invisible hand,” they will promote the public interest.

158. It is generally agreed that a major advantage of the competitive price system is the achievement of efficiency.

159. The problems of central planning become more complex as an economy grows over time.

160. Profit, but not price, is the primary success indicator in a centrally planned economy.

161. The coordination problem in the economy of the former Soviet Union and pre-reform China involved the difficulties of matching the inputs and outputs of industrial enterprises.

162. In the circular flow model, households function on the selling side of the resource market and the buying side of product markets.

163. In the circular flow model, there is a money flow of economic resources and finished goods and services and a real flow of income and consumption expenditures.

Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Ask A Question and we will direct you to our Order Page at WriteDemy. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.