The correct answer is allocates resources efficiently and allows economic freedom.
The market system of economics is one where economic decisions and the pricing of goods and services are guided solely by supply and demand and there is limited to no government interaction in the economy. Because of this, two major virtues of the market system are that it allocates resources efficiently and allows economic freedom.
Answer:
$9,700
Explanation:
The computation of the consumption is shown below;
= Durable goods + Services + Non-durable goods
= $3,000 + $6,000 + $700
= $9,700
We simply added the durable goods, services and the non-durable goods so that the consumption could be come
Hence, the consumption is $9,700
Therefore the same is to be considered
Answer:
The correct answers are "How?"; "What?"; and "Who?" respectively.
Explanation:
To begin with, in the economics science there is a big importance that the professionals of the area give to answering the questions mentioned before. Those questions are: "What to produce?"; "How to produce it?" and "To who we produce it to?". And the importance in that resides in the fact that the economy itself as a whole and therefore the companies and small producers among them need to understand what are they going to produce for the economy, to who they will sell it to and how will the produce it.
In conclusion, when the firm decides to use skilled professionals to produce its output they are answering the question of "How?". When the firm decides to produce organic fruit rather than non dash organic fruit, then they are answering the question of "What?". And the when the firm finds out who gets the goods and services that are produced, they are answering the question of "Who?".
Answer: B. Loss of earnings from employment
Explanation:
The opportunity cost of choosing a course of action is the returns that you would have earned from choosing the next best action.
David was employed and yet decided to quit that job and start a business. The next best thing he could have been doing was working which means that the opportunity cost was the returns from working which was his salary.
In deciding to open up his own businesses, he had to forego the opportunity costs which meant that he lost the earnings from that his employment.
