Which Concept Suggests That the Private Market Can Be Effective

question 130

Multiple Choice

Which concept suggests that the private market can be effective in dealing with externalities

• A)the "invisible hand"
• B)the law of diminishing social returns
• C)the Coase theorem
• D)technology policy

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Definitions:

Cost Benefit Analysis

A systematic approach to estimating the strengths and weaknesses of alternatives used to determine the options that provide the best approach to achieve benefits while preserving savings.

Intellectual Property

A category of property that includes intangible creations of the human intellect, such as inventions, literary and artistic works, designs, symbols, names, and images used in commerce.

Legal And Political Systems

The comprehensive structure within which laws are created, interpreted, and enforced, and how government decision-making occurs, influencing the behavior of individuals and organizations.

Asia Pacific Economic Cooperation

A forum that links 21 countries to promote free trade and investment in the Pacific region.