Conclusion: - The greater the division of labor in an economy, the greater the need for coordination.
Premise: - This is because increased division of labor entails a larger number of specialized producers, which
results in a greater burden on managers and, potentially, in a greater number of disruptions of
supply and production. There is always more division of labor in market economies than in
planned economies.
If all of the statements given are true, the which of the following must also be true?
- Must be True question.A. Disruptions of supply and production are more frequent in planned economies than in market economies.
- Mistaken Reversal false answer or can be termed as opposite answer.B. There are more specialized producers in planned economies than in market economies.
- Mistaken Reversal false answer or can be termed as opposite answer.C. The need for coordination in market economies is greater than in planned economies.
- correct when we read the conclusion and difference between planned and market economy in premise.D. A manager’s task is easier in a market economy than in a planned economy.
- This cannot be inferred as premise merely states manager's burden with respect to division of labour is increased and it does not necessarily mean the other way round. Good example for Shell game answerE. Division of labor functions more effectively in market economies than in planned economies.
- Incorrect and opposite Answer..
Correct Answer is choice C