TEXT C The relationship between
the home and market economies has gone through two distinct stages. Early
industrialization began the process of transferring some production processes
(e. g. cloth-making, sewing and canning foods) from the home to the marketplace.
Although the home economy could still produce these goods, the processes were
laborious and the market economy was usually more efficient. Soon, the more
important second stage was evident-the marketplace began producing goods and
services that had never been produced by the home economy, and the home economy
was unable to produce them (e. g. electricity and electrical appliances, the
automobile, advanced education, sophisticated medical care). In the second
stage, the question of whether the home economy was less efficient in producing
these new goods and services was irrelevant. If the family were to enjoy these
fruits of industrialization, they would have to be obtained in the marketplace.
The traditional ways of taking care of these needs in the home, such as in
nursing the sick, became socially unacceptable (and, in most serious cases,
probably less successful). Just as the appearance of the automobile made the use
of the horse-drawn carriage illegal and then impractical, and the appearance of
television changed the radio from a source of entertainment to a source of
background music, so most of the fruits of economic growth did not increase the
options available to the home economy to either produce the goods or services or
purchase them in the market. Growth brought with it increased variety in
consumer goods, but not increased flexibility for the home economy in obtaining
these goods and services. Instead, economic growth brought with it increased
consumer reliance on the marketplace. In order to consume these new goods and
services, the family had to enter the marketplace as wage earners and consumers.
The neoclassical model that views the family as deciding whether to produce
goods and services directly or to purchase them in the marketplace is basically
a model of the first stage. It cannot accurately be applied to the second (and
current) stage. Economic growth did not make it more flexible for the home economy to obtain the new goods and services because______.
A.the family was not efficient in production B.it will be illegal for the home economic to produce them C.it could not supply them by itself D.the market for these goods and services was limited