What are the benefits of leaving the allocation of country resources to the price mechanism?

Ans) The main conditions needed are:

1. Either a finite number of agents or goods.

2. No externalities - That is, the consumption of one person should not harm or advantage anyone else.

3. No matter how much a one is consuming, they must be capable to be made slightly happier by consuming a bit more of something.

 

Posted Date: 4/1/2013 1:50:51 AM | Location : United States

Ask an Expert

Related Discussions:- Allocation of country resources to the price mechanism, Assignment Help, Ask Question on Allocation of country resources to the price mechanism, Get Answer, Expert's Help, Allocation of country resources to the price mechanism Discussions

Write discussion on Allocation of country resources to the price mechanism
Your posts are moderated

Write your message here..

Related Questions

Approaches for handling customer complaints, Explain some of the approaches... Explain some of the approaches for handling customer complaints and listening to customers

Classification of office files, discuss with examples the modern method of ... discuss with examples the modern method of filing.

Snap inc., how to start with assignment for stakeholder analysis and strate... how to start with assignment for stakeholder analysis and strategy program report

european union , a)  Talk about the significance of international trade to... a)  Talk about the significance of international trade to UK business organisations b)  Examine the impact of global factors on UK business organisations c)  Detail the impac

COMMERCIAL LAW, 10. State Z’s automobile manufacturing industry is one of t... 10. State Z’s automobile manufacturing industry is one of the largest and most highly regarded in the world. The industry is concerned that it may lose some of its domestic market

Job analysis is useful for successful people management, QUESTION 1 As... QUESTION 1 As an HR officer, you have been asked to produce an HR Plan for an organization (a) Why should an organization select to engage in some form of Human Resource Pl

Explain a business model, Question: Using Amazon.com as a business mode... Question: Using Amazon.com as a business model: (a) Describe its positioning in the Internet value network. (b) Discuss the value configuration(s) of the online bookshop

Marketing distribution, what is placing decision in distribution of market... what is placing decision in distribution of marketing

Distinguish between a group and a team, QUESTION 1 (a) Using suitable e... QUESTION 1 (a) Using suitable examples distinguish between formal and informal organization. (b) Describe any two characteristics a formal Organisation. (c) Illustrate an

Composition of working capital, Why the composition of the working capital ... Why the composition of the working capital of business is important as the value of the working capital