What links the decisions of consumers and firms in a market?
举一反三
- In a market economy A: households decide which firms to work for and what to buy with their incomes B: firms decide whom to hire and what to make. C: a central planner makes decisions about production and consumption. D: Both a and b are correct.
- Most consumers doubt what the ( __ ) (market) says to them.
- 18. Invisible hand is a term used by the economist ______ to describe how the decisions of households and firms lead to desirable market outcomes.
- For any competitive market, the supply curve is closely related to the A: preferences of consumers who purchase products in that market. B: income tax rates of consumers in that market. C: firms’ costs of production in that market D: interest rates on government bonds
- In perfect competition, ________. A: there are restrictions on entry into the market B: firms in the market have advantages over firms that plan to enter the market C: only firms know their competitors' prices D: there are many firms that sell identical products