When great precision in the coordination of individual productive activities is required,
A)such activity must be organized by the government.
B)economic activity comes to a stop.
C)the price (or market) system must be completely scrapped.
D)monarchy is necessary.
E)organizations such as firms are formed.

Question

Quizplus · Accepted Answer

When great precision in the coordination of individual productive activities is required, organizations such as firms are formed. This allows for centralization of decision-making and efficient control over the production process, ensuring that all activities are coordinated effectively. The market system can also be used to allocate resources within the firm. Government planning or scrapping the market system altogether would not necessarily lead to precise coordination of activities. Monarchy is not relevant in this context.

When Great Precision in the Coordination of Individual Productive Activities