According to Hayek,a Social Planner Has No Hope of Matching

question 25

Multiple Choice

According to Hayek,a social planner has no hope of matching the efficiency of a competitive pricing system because

• A) no social planner can be completely benevolent in his actions.
• B) a social planner cannot have access to the specialized knowledge of individuals.
• C) the social planner will be unable to fully monitor the activities of his agents.
• D) people are selfish and will not be actively altruistic to the social planner.

Understand the significance of integrity in leadership and its impact on organizational culture.

Realize the role of corporate social responsibility in a firm's impact on society and its employees.

Recognize the relationship between strategic leadership, social responsibility, and setting an ethical tone at the top of the organization.

Differentiate between ethical and unethical behaviors and the importance of aligning actions with ethical principles.

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Definitions:

Marginal Revenue

The additional income received from selling one more unit of a good or service.

Marginal Cost

The elevation in aggregate cost associated with creating an extra unit of a good or service.

Monopolistically Competitive Market

A market structure in which many companies sell products that are similar but not identical, allowing for slight product differentiation and some price control.

Demand Curve

A graph showing the relationship between the quantity of a good or service that consumers are willing and able to purchase at various prices.