The Ability of the Invisible Hand to Allocate Resources Efficiently

question 77

Multiple Choice

The ability of the invisible hand to allocate resources efficiently is

• A) improved by the existence of barriers to entry.
• B) rarely observed in practice.
• C) undamaged by the existence of barriers to entry.
• D) a fiction of the economist's mind.
• E) severely reduced by the presence of barriers to entry.

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Definitions:

Palatine Bones

Bones that form part of the hard palate of the mouth as well as parts of the nasal cavity and eye orbits.

Maxillae

The pair of large facial bones that form the upper jaw and parts of the orbits of the eyes, necessary for chewing and supporting the face.

Mandible

The lower jawbone in vertebrates, which holds the lower teeth in place and forms the structure necessary for chewing.

Vomer Bone

A small, thin bone forming part of the nasal septum, which divides the nasal cavity into two nostrils.