Market mechanisms as tools or instruments of policy are defined as ______.
A) those that rely upon the laws of supply and demand
B) regulating how transactions are conducted in the market
C) using forms of persuasion and education
D) government management of individuals or corporations

Question

Quizplus · Accepted Answer

Market mechanisms as tools or instruments of policy rely upon the laws of supply and demand. These mechanisms allow for the efficient allocation of resources and can be used by governments to achieve policy goals, such as reducing pollution or promoting renewable energy, without needing to directly manage individual or corporate behavior.

Market Mechanisms as Tools or Instruments of Policy Are Defined