Q1. Matthew Reeves is listening to a discussion on how resources move to the most efficient allocation. Two of the participants make these statements:

Statement 1: When resources are diverted from beer production to wine production, this represents an inefficient allocation from the perspective of the beer producers.

Statement 2: Market allocation of resources tends toward efficiency because the value of what a resource can produce determines its allocation in production.

With respect to these statements:

A)   both are correct.

B)   only statement 2 is correct.

C)   only statement 1 is correct.

Q2. Fred Heyach and Gord Murdoll are discussing whether or not competitive markets use resources efficiently. Heyach says, “Competition must lead to the efficient allocation of resources. Consumers are willing to pay more for the goods they want most, so producers of those goods can outbid other producers for the resources to make them.” Murdoll replies, “At any one point in time the market might allocate resources efficiently given consumers’ preferences, but as consumers change their minds about which goods they want, the allocation of resources becomes inefficient.”

With respect to these statements:

A)   both are correct.

B)   only Murdoll is correct.

C)   only Heyach is correct.

答案和详解如下：

Q1. Matthew Reeves is listening to a discussion on how resources move to the most efficient allocation. Two of the participants make these statements:

Statement 1: When resources are diverted from beer production to wine production, this represents an inefficient allocation from the perspective of the beer producers.

Statement 2: Market allocation of resources tends toward efficiency because the value of what a resource can produce determines its allocation in production.

With respect to these statements:

A)   both are correct.

B)   only statement 2 is correct.

C)   only statement 1 is correct.

Correct answer is B)

Reeves should disagree with Statement 1. In the competitive market, resources are diverted away from goods for which final consumer demand is decreasing, and toward the production of goods for which final consumer demand is increasing. If the market is diverting resources from producing beer to producing wine, it is because consumers have changed their decisions and begun offering more money for wine and less for beer. This means beer brewers are producing more than consumers demand and generating losses on the excess production. They will maximize their profits by reducing their production and using fewer resources. Thus, the new allocation of resources is efficient even from the point of view of the beer producers.

Reeves should agree with Statement 2. The market constantly reallocates productive resources to uses where what they produce is valued more by final consumers, and removing them from uses where what they produce is valued less. When there are no obstacles, resources are always moving toward their most efficient (value maximizing) allocations.

Q2. Fred Heyach and Gord Murdoll are discussing whether or not competitive markets use resources efficiently. Heyach says, “Competition must lead to the efficient allocation of resources. Consumers are willing to pay more for the goods they want most, so producers of those goods can outbid other producers for the resources to make them.” Murdoll replies, “At any one point in time the market might allocate resources efficiently given consumers’ preferences, but as consumers change their minds about which goods they want, the allocation of resources becomes inefficient.”

With respect to these statements:

A)   both are correct.

B)   only Murdoll is correct.

C)   only Heyach is correct.

Correct answer is C)

Heyach’s statement is correct but Murdoll’s statement is incorrect. Competitive forces adjust the allocation of resources to changes in consumer preferences. If consumers’ demand for a product decreases, the resources that were being used to produce it are diverted to the production of other goods that are in greater demand.

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