Adam Smith’s “invisible hand” refers toa. the subtle and often hidden methods thatbusinesses use to profit at consumers’ expense.b. the ability of free markets to reach desirableoutcomes, despite the self-interest of marketparticipants.c. the ability of government regulation to benefitconsumers even if the consumers are unaware ofthe regulations.d. the way in which producers or consumers inunregulated markets impose costs on innocentbystanders.
Adam Smith’s “invisible hand” refers toa. the subtle and often hidden methods thatbusinesses use to profit at consumers’ expense.b. the ability of free markets to reach desirableoutcomes, despite the self-interest of marketparticipants.c. the ability of government regulation to benefitconsumers even if the consumers are unaware ofthe regulations.d. the way in which producers or consumers inunregulated markets impose costs on innocentbystanders.
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter2: Thinking Like An Economist
Section: Chapter Questions
Problem 2PA
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Question
Adam Smith’s “invisible hand” refers to
a. the subtle and often hidden methods that
businesses use to profit at consumers’ expense.
b. the ability of free markets to reach desirable
outcomes, despite the self-interest of market
participants.
c. the ability of government regulation to benefit
consumers even if the consumers are unaware of
the regulations.
d. the way in which producers or consumers in
unregulated markets impose costs on innocent
bystanders.
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