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Adam Smith Felt That Optimum Use of Society's Resources Required

question 11

True/False

Adam Smith felt that optimum use of society's resources required a free market to set prices for goods and services.


Definitions:

Agency Relationship

A legal arrangement in which one party, the agent, is authorized to act on behalf of another, the principal, in business transactions or other matters.

Bankruptcy

The legal process by which the assets of a debtor are sold to pay off creditors so that the debtor can make a fresh start financially.

Operation Of Law Authority

Legal changes or transfers that occur automatically because of established laws, without the need for action by individuals.

Apparent Authority

The appearance or assumption of authority based on the actions or statements of the principal, leading others to believe someone has the authority to act on behalf of the principal.

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