Adam Smith Argued That Each Person in a Competitive Market

question 65

Multiple Choice

Adam Smith argued that each person in a competitive market is led to promote the

• A) inefficient use of society's resources, even though each person's intention is to make society better off.
• B) efficient use of society's resources, because each person's intention is to make society better off.
• C) efficient use of society's resources, even though it is no person's intention to make society better off.
• D) inefficient use of society's resources, because it is no person's intention to make society better off.

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Definitions:

Age of Majority

The legally recognized age at which an individual is considered an adult and responsible for their actions.

Exculpatory Clause

A contract provision that relieves one party from liability for wrongdoing or negligence.

Covenant Not to Compete

A legal agreement in which one party agrees not to enter into or start a similar profession or trade in competition against another party.

Tort of Defamation

A civil wrong that involves making false statements about someone that harm their reputation.