According to institutional economists, which mechanism improves the efficiency of markets?
A) unregulated trade
B) unions with bargaining rights
C) macroeconomic policy
D) wealth redistribution

Question

Quizplus · Accepted Answer

Unions with bargaining rights can improve the efficiency of markets by reducing information asymmetry and increasing worker power, which can lead to more efficient wage negotiations and improved working conditions.

According to Institutional Economists, Which Mechanism Improves the Efficiency of Markets