The Two Main Forms of Economic Organization Are

question 78

Multiple Choice

The two main forms of economic organization are:

• A)The administrative mechanism within the firm and the market mechanism
• B)The administration by the state and the free market
• C)The visible hand and the pressure from politicians
• D)The invisible hand of the market and micro-economic mechanisms

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Definitions:

General Sales Agent

An individual or company authorized to sell or distribute a manufacturer's products in a specific area or market.

Express or Implied Authority

Power granted by a principal to an agent, which can be explicitly stated (express) or inferred from actions, circumstances, or job title (implied).

Disclosed Principal

In the realm of agency law, a principal whose identity the third party is aware of when the agent enters into a contract with that third party.

Unauthorized Contract

An agreement made by someone who does not have the legal right or power to do so on behalf of another person or entity.