The Invisible Hand Principle Indicates That Competitive Markets Can Help

question 135

Multiple Choice

The invisible hand principle indicates that competitive markets can help promote the efficient use of resources

• A) only if buyers and sellers really care, personally, about economic efficiency.
• B) even when each market participant cares only about their own self interest rather than about the overall efficiency of resource use.
• C) even if business firms fail to produce goods efficiently.
• D) if, and only if, businesses recognize their social obligation to keep costs low and use resources wisely.

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Definitions:

Apnea

A temporary cessation of breathing, especially during sleep, which can be indicative of several health issues.

Stimulus for Breathing

Factors or conditions that trigger the respiratory system to initiate the act of breathing, such as increased carbon dioxide levels.

Purified Protein Derivative (PPD)

A substance used in a tuberculin skin test (TST) to detect tuberculosis infection.

Tuberculosis (TB)

A contagious bacterial infection caused by Mycobacterium tuberculosis, primarily affecting the lungs but may spread to other organs.