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The Following Question Are Based on the Following Circular Flow

Question 47

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The following question are based on the following circular flow diagram:
The following question are based on the following circular flow diagram:    -In a free market,the price system provides for an adequate rate of growth by A)  making the augmentation of a society's resources unprofitable. B)  ensuring an upward-sloping supply curve. C)  meeting each consumer's demand. D)  providing strong incentives for firms to introduce new technology. E)  ensuring that each good is produced in the proper amount.
-In a free market,the price system provides for an adequate rate of growth by


A) making the augmentation of a society's resources unprofitable.
B) ensuring an upward-sloping supply curve.
C) meeting each consumer's demand.
D) providing strong incentives for firms to introduce new technology.
E) ensuring that each good is produced in the proper amount.

Correct Answer:

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