Multiple Choice
The concept of "invisible hand" introduced by Adam Smith explains:
A) why people act in their own best interests.
B) why the government intervenes to overcome failures in private markets.
C) how people,acting out of self-interest,unintentionally promote the general good.
D) how comparative advantage and specialization promote international trade.
E) how the creation of goods and services generates its own demand by creating employment and income.
Correct Answer:

Verified
Correct Answer:
Verified
Q6: Economists use the price index to eliminate
Q7: The figure below shows the aggregate demand
Q8: An increase in wage rate,other things constant,shifts
Q9: Which of these is a likely impact
Q10: Which of these economic changes was observed
Q12: A period of sustained decline in output
Q13: In combating stagflation,a government-induced:<br>A)increase in aggregate demand
Q14: The mercantilism policy failed to generate gains
Q15: Which of the following economic measures is
Q16: The term "fine-tuning the economy" implies:<br>A)making government