Asked by Jennifer Robert on Jul 04, 2024
Verified
Resource prices are important because they affect resource allocation and income distribution.
Resource Prices
The costs associated with the factors of production like labor, capital, land, and entrepreneurship used in the creation of goods or services.
Income Distribution
The way in which a nation's total earnings are divided among its population.
- Analyze the significance of resource prices on resource allocation and income distribution.
Verified Answer
ZK
Zybrea KnightJul 07, 2024
Final Answer :
True
Explanation :
Resource prices influence the allocation of resources by signaling where resources are most needed based on demand, and they affect income distribution by determining how much income resource owners receive for their resources.
Learning Objectives
- Analyze the significance of resource prices on resource allocation and income distribution.
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