Question

The consistent policy of trading countries to lower trade barriers throughout the postwar period contributed to the globalization of the world economy
True
False

Bergson viewed scarcity as inherent to socialism. Because of soft budgets and other reasons, the demands for products would be almost unlimited. In such a setting, Lange’ s CPB would in vain search for higher and higher prices to achieve equilibrium only to find that no equilibrium existed.
True
False

The proponents of industrial policy argue that private markets can effectively produce growth
True
False

Deregulation has reduced competition.
True
False

A vertical transaction is one concluded by subordinates at the same level of the administrative structure without the approval of administrative superiors.
True
False

Answer 1

1. True

2. False

Janos Kornai viewed scarcity as inherent to socialism. Because of soft budgets and other reasons, the demands for products would be almost unlimited. In such a setting, Lange’ s CPB would in vain search for higher and higher prices to achieve equilibrium only to find that no equilibrium existed.

3. False

The proponents of industrial policy argue that private markets cannot effectively produce growth

4. True

Deregulation is when the government reduces or eliminates restrictions on industries, often with the goal of making it easier to do business. It removes a regulation that interferes with firms' ability to compete, especially overseas.

5. False

A horizontal transaction is one concluded by subordinates at the same level of the administrative structure without the approval of administrative superiors.