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3 years ago

The market mechanism benefits society by ensuring that ________.

2 answers:

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The market mechanism benefits society by ensuring that: scarce resources are channeled into products most desired by society
Market mechanism determines which products stays or go by relying purely on the force of supply and demand. If the products are desired by the customers, the producer will always keep up with the demand in order to rake in the potential profit.

podryga [215]3 years ago

5 0

The market mechanism benefits the community where the public can know the price of the product by the demand and supply so that the community can determine what products will be purchased in which the market mechanism will make the demand and supply prices balanced.

<h2>Further Explanation </h2>

The market mechanism is the tendency in a free market for a price to change until the market becomes balanced (the amount offered is the same as the amount requested).

1. Request

Demand is the desire of consumers to buy an item at various price levels over a certain period, which is accompanied by a willingness and ability to buy the item.

The law of demand reads: "The higher the price of an item, the less the number of goods requested or sold and vice versa".

2. Offer

Offer is the number of goods that producers want to offer (sell) at various price levels during a certain period.

The law of the offer reads: "if the price goes up, then the amount offered also goes up and vice versa".

Strengths and weaknesses of the market mechanism

1. Strengths

The Market Can Give More Correct Information.
Developing Business Activities.
Acquire Modern Expertise.
Production Efficiently and efficiently.
The market provides high freedom.

2. Weaknesses

Unlimited freedom oppresses certain groups.
Economic Activity Is Very Unstable.
Market Systems Can Cause Monopoly.
Market mechanisms cannot provide certain types of goods efficiently.
consumer and producer activities might cause adverse "externalities".

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definition of The market mechanism brainly.com/question/4608480

Strengths and weaknesses of the market mechanism brainly.com/question/4608480

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Grade: High School

Subject: Business

keywords: The market mechanism

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A company had the following cash flows for the year:

BaLLatris [955]

Answer:

$35,000 (inflow)

Explanation:

Net investing cash flows is computed as follows;

Inflow:

Issued common stock $75,000

Sold equipment 40,000

Total $115,000

Less: outflow

Purchased land $60,000

Paid dividends 20,000

Total outflow $80,000

——————

Net investing cash flows $35,000

*positive cash flows (inflow is greater than outflow) will increase the amount cash of the company

*proceeds from the bank classified as financing activity

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3 years ago

What is an information system designed to integrate internal and external members of the supply chain?

djyliett [7]

Answer:

(E) Enterprise resource planning is an information system designed to integrate internal and external members of the supply chain

Explanation:

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3 years ago

According to the definition of profit, if a profit-maximizing firm will always attempt to produce its desired level of output at

Leona [35]

Complete Question:

According to the definition of profit, if a profit-maximizing firm will always attempt to produce its desired level of output at the lowest possible cost, then it will

Group of answer choices;

A. do so regardless of what type of competition exists in a market.

B. take a long-run perspective on costs, when such costs cannot be adjusted.

C. take a short-run perspective on labor costs which cannot be immediately changed.

D. breakdown its cost structure according to short-run adjustments.

Answer:

A. do so regardless of what type of competition exists in a market.

Explanation:

According to the definition of profit, if a profit-maximizing firm will always attempt to produce its desired level of output at the lowest possible cost, then it will do so regardless of what type of competition exists in a market.

Profit maximization is considered by economists as either a short run or long run process that ultimately influences a firm's price, investment or input costs and level of production that would result in the highest profit.

Hence, a firm makes profit when the total cost used for the production of a product is subtracted from the total revenue generated from the sales of that product.

Mathematically, $Profit = Total Revenue - Total cost.$

Regardless of what competition exists in the market, a firm is only very much concerned with knowing the quantity of goods that it should produce in order to make profits. Having the answer to the above question would help a profit-maximizing firm to produce its desired level of output at the lowest possible cost.

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3 years ago

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Answer:

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Explanation:

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When the economy is facing an output that is lower than potential, the Fed will engage in monetary policy aimed at reducing interest rates to improve investment spending. This therefore negates the effect of crowing out which means that it would no longer be a major concern.

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