From Society's Point of View, the Economic Function of Profits

question 159

Multiple Choice

From society's point of view, the economic function of profits and losses is to

• A)promote the equal distribution of real assets and wealth.
• B)achieve full employment and price level stability.
• C)contribute to a more equal distribution of income.
• D)reallocate resources from less-desired to more-desired uses.Topic: Five Fundamental Questions

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Definitions:

Business Leaders

Individuals in senior positions within companies who make strategic decisions, guide direction, and inspire employees toward achievement of organizational goals.

Mumford's Skills Model

A framework proposing that leadership effectiveness is a function of a leader's competencies in problem-solving skills, social judgement skills, and knowledge.

Competencies

Refers to the skills, knowledge, abilities, and behaviors that contribute to an individual's ability to perform a task or job effectively.

Leader Performance

The effectiveness with which a leader achieves the goals of an organization or team, often measured in terms of outcomes and follower satisfaction.