In His Book the Wealth of Nations, Adam Smith Employed

question 12

Multiple Choice

In his book The Wealth of Nations, Adam Smith employed the example of a pin factory in order to explain what economic concept?

• A)the relationship between the marginal and average product of labor
• B)the law of diminishing returns
• C)why no firm would want to hire so many workers as to experience a negative marginal product of labor
• D)the division of labor

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Definitions:

Primary Appraisal

Primary appraisal is the initial evaluation process where an individual assesses the significance of a stressor and determines whether it is a threat, challenge, or harm.

Stress-Related Decision

Decision-making processes that are significantly influenced or impaired by psychological stress.

Hardy People

Individuals characterized by resilience and the ability to cope effectively with stress and adversity, often exhibiting a positive outlook and strong commitment despite challenges.

Commitment, Control, Challenge

These are the three components of psychological hardiness, a personality trait that enables individuals to cope more effectively with stress.