Author Question: On which of the following assumptions is formal economic theory based? a. The value of a ... (Read 69 times)

HCHenry · **on:** Jul 10, 2018

On which of the following assumptions is formal economic theory based?

a. The value of a particular commodity decreases as it becomes more scarce.
b. Only occasionally do people maximize their material well-being.
c. People, when exchanging goods and services, naturally strive to maximize material well-being and profits.
d. Families will compete against each other to assert rights of ownership and allocation.
e. In societies where there is formal market exchange (commercialism), the market will determine all economic activities of individuals.

Question 2

All of the following are potential limitations to personal property rights in the United States EXCEPT _____.

a. right of eminent domain
b. availability of resources
c. zoning laws
d. title and ownership of property
e. foreign land ownership