Under Soviet-type economy-wide central planning ?
Correct answer: A. most resource lack freedom to move to their highest value uses
- A. most resource lack freedom to move to their highest value uses
- B. resources are free to move to their lowest cost uses
- C. resources owned by private entities moves to efficient use but not those owned publicly
- D. resources are privately owned by capitalists
Explanation
Central planning commonly restricts resource mobility because administrative controls determine production and allocation rather than market prices. Consequently, resources may not move freely toward their highest-value uses.
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