Information Problem for Central Planners

Answered using GPT-4o mini by AI Answer Generator

Question:

The information problem for a central planner refers to the fact that he or she may not know what resources are available.

False

True

Answer:

True

The information problem for a central planner refers to the difficulty in obtaining and processing all the necessary information about resources, preferences, and needs in an economy. This lack of information can hinder the planner's ability to allocate resources efficiently.