Which of the following statements best describes production outcomes in the Soviet Union and pre-reform China?
A) Output was often low quality because production managers were rewarded only for meeting quantitative production targets.
B) Output was often high quality but insufficient in quantity because production managers were rewarded only for meeting quality standards.
C) Output was generally high quality and sufficient in quantity because of the well-specified economic plans.
D) Output was of variable quality but sufficient in quantity because market signals were only consistent in telling managers how much to produce.

Question

Quizplus · Accepted Answer

Production managers in the Soviet Union and pre-reform China were primarily incentivized to meet quantitative targets, often leading to low-quality output as quality was not a primary focus.

Which of the Following Statements Best Describes Production Outcomes in the Soviet