The Challenge of Learning to Function in Society and Beyond

question 76

Multiple Choice

The challenge of learning to function in society and beyond the family marks Erikson's childhood stage of ​

• A)initiative versus guilt.
• B)trust versus mistrust.
• C)autonomy versus shame and doubt.
• D)industry versus inferiority.

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Definitions:

Invisible Hand Principle

Adam Smith's concept that individuals' self-interested actions can lead to positive social and economic outcomes, guided as if by an invisible hand.

Economic Welfare

The overall well-being and standard of living of people in an economy, typically measured by indicators like wealth, health, and happiness, alongside economic factors.

Competitive Market

A market structure characterized by a large number of buyers and sellers, free entry and exit, and products that are similar but differentiated.

Invisible Hand Concept

A term coined by Adam Smith describing the self-regulating nature of the marketplace, where individuals pursuing their self-interest unwittingly contribute to the economic wellbeing of society.