A voluntary exchange of existing consumer goods is beneficial because it
A)makes those engaging in the exchange better off.
B)changes the total quantity of goods produced.
C)reallocates existing goods.
D)reduces scarcity.
E)requires choice.

Question

Quizplus · Accepted Answer

A voluntary exchange of existing consumer goods allows individuals to trade goods they value less for goods they value more, resulting in both parties being better off. It does not change the total quantity of goods produced, but rather reallocates existing goods. While it may reduce scarcity for the individuals involved in the exchange, it does not necessarily reduce scarcity overall. Choice is required for individuals to determine which goods they wish to exchange.

A Voluntary Exchange of Existing Consumer Goods Is Beneficial Because