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3. "Savings-led"?
3. "Savings-led" argue that to reduce the power exercised by the owners of capital, the state must direct the allocation of resources. In a capitalist system based on the market, financial markets do that job. Which approach do you think allocate resources more efficiently? Relate your answer to the basic principle that markets and prices to allocate resources in place. A. Command B. Economy C. Market Economy D. Depends on the situation none of the above
A market economy allocates resources more efficiently. Efficiency not always in the best interests of the Magi in the government, hence their proclivity to attempt to override their decisions.
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