Question
33. Consider the following statement, which is taken from The Armchair Economist , written by University of Rochester professor Steven Landsburg: No matter how many
33. Consider the following statement, which is taken from The Armchair Economist, written by University of Rochester professor Steven Landsburg:
"No matter how many efficient allocations you want to achieve, you can always achieve it by first redistributing income in an appropriate way, and then letting competitive markets function freely."
This passage is a description of:
a. The logical basis for the assumption of firm profit maximization.
b. The First Welfare Theorem.
c. The Second Welfare Theorem.
d. The logical basis for the assumption of consumer utility maximization.
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