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Economic Profits and Losses Are TRUE Market Signals Because They

Question 337

Multiple Choice

Economic profits and losses are TRUE market signals because they


A) convey information in an asymmetrical fashion.
B) convey information about rewards people should anticipate experiencing by shifting resources from one activity to another.
C) convey information to public officials about where to encourage people to invest and what skills people should develop.
D) cause people to move into careers in both undesirable and desirable industries with equal ease.

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