Question:

Each of the following statements describes how the political and legal environment encourages productivity EXC

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Each of the following statements describes how the political and legal environment encourages productivity EXCEPT:

A. Well-defined property rights encourage production and saving.

B. Political stability promotes economic growth.

C. The free and open exchange of ideas spreads the development of new technologies.

D. Price changes in markets provide suppliers incentives to supply goods to markets.

E. Pay rates determined by a governmental planning agency provide workers with the incentive to work hard.

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1 ANSWERS


  1. D. Price changes in markets provide suppliers incentives to supply goods to markets.

    Because it's not political or legal issues.

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