Why Is the Image of the "Invisible Hand" in Adam

question 8

Multiple Choice

Why is the image of the "invisible hand" in Adam Smith's analysis of capitalism said to be misleading?

• A)For markets to function properly,rules must be enforced by the state when violated.
• B)For markets to function properly,entrepreneurs must be admitted by lottery drawing.
• C)For markets to function properly,competition must be enforced by supply and demand,not rules.
• D)For markets to function properly there must be few if any rules.

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Definitions:

Phi Effect

A visual illusion where stationary objects are perceived to be moving due to rapid sequential light stimulation.

Neural Activity

The electrical and chemical processes in neurons responsible for the transmission of signals within the brain and nervous system.

Conscious Experience

The personal awareness or perception of thoughts, feelings, sensations, or the external environment.

Moving Light

A source of light that changes its position, creating dynamic lighting effects.