If the assumptions of competitive market theory hold, the market system would lead to one and only one point on the utility possibilities frontier.

Name: If the assumptions of competitive market theory hold, the market system would lead to one and only one point on the utility possibilities frontier.
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Question

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Competitive market theory can lead to multiple points on the utility possibilities frontier, as different distributions of resources can result in different allocations of utility among individuals.

If the Assumptions of Competitive Market Theory Hold, the Market