Answer:
B) False
Explanation:
The way the transaction takes place on the market is the Market Organization. Over time it's determined by a combination of factors: chance events (e.g., technical innovations, locations), financial and physical limitations (transaction costs, intelligence cost, manufacturing costs)etc.
Answer:
D.
discouraging the use of products like alcohol and tobacco
Explanation:
Excise taxes can be regarded as taxes that are been paid after purchasing a particular goods such as gasoline, it is also extended on activities like usage of high ways.. It should be noted that besides raising revenue, discouraging the use of products like alcohol and tobacco is another important use of excise taxes.
Answer:
D. Government Policies are the primary forces that guide decisions of firms and households .
Explanation:
Market Economy has factors of production owned , controlled & opereated by private sector . There is entire private ownership , with profit maximisation goal . All production , consumption & distribution takes place on basis of pure market forces - (demand & supply) . It is also called Capitalist Economy .
As mentioned : a) Hiring , Production decisions taken by independent private firms b) The free market 'Invisible Hand' guides self & social welfare c) Households take labour supply & goods consumption decisions - All these decisions taken independently by private producers & personal consumers , unintervened by government
D) Government policies guiding firms & households decision is not applicable to Market Economy , since there is no government intervention in this type of economy .
The satisfaction received from using one more unit of a good or service is called "marginal benefit ".
Marginal benefit alludes to what individuals will surrender keeping in mind the end goal to get one more unit of a goods or services, while marginal cost alludes to the estimation of what is surrendered so as to deliver that extra unit. Extra units of a good ought to be created as long as minimal advantage is more than marginal cost.
