Which of the following is an important ingredient of efficient economic organization?
A) High marginal tax rates.
B) Competitive markets.
C) Rapid increases in the money supply.
D) Imposition of high tariffs that will protect domestic producers from the ravages of foreign competition.

Question

Quizplus · Accepted Answer

Competitive markets encourage innovation, efficiency, and the allocation of resources to their most valued uses. This leads to greater productivity, economic growth, and overall well-being. High marginal tax rates, rapid increases in the money supply, and high tariffs typically have negative effects on economic efficiency and organization.

Which of the Following Is an Important Ingredient of Efficient