Figure 1- 2 With a budget of $500 000,a school board can choose to purchase 20 000 textbooks or 2000 laptop computers (or some intermediate combination)for use in classrooms.

-The key decision makers in a market economy are
A)governments and all institutions under government control.
B)corporations and governments.
C)individual citizens,non- profit organizations,and the Bank of Canada.
D)large corporations and labour organizations.
E)households,firms,and government.

Question

Figure 1- 2 With a budget of $500 000,a school board can choose to purchase 20 000 textbooks or 2000 laptop computers (or some intermediate combination)for use in classrooms.
 
-The key decision makers in a market economy are
A)governments and all institutions under government control. 
B)corporations and governments. 
C)individual citizens,non- profit organizations,and the Bank of Canada. 
D)large corporations and labour organizations. 
E)households,firms,and government.

Quizplus · Accepted Answer

The key decision makers in a market economy are households, firms, and government. In this scenario, the school board must decide between purchasing textbooks or laptops for use in classrooms. This decision will ultimately be made by the school board, which is a government entity. However, the decision is based on the needs and preferences of the households (students and teachers) and the costs and benefits of each option for the school board (a firm). Therefore, the best choice is E.

Figure 1- 2 with a Budget of $500 000,a School