All the Following Are Assumptions of the Classical Model EXCEPT

question 225

Multiple Choice

All the following are assumptions of the classical model EXCEPT

• A) pure competition exists.
• B) buyers and sellers react to nominal money prices rather than to relative prices.
• C) people are motivated by self-interest.
• D) wages and prices are flexible.

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Definitions:

Charisma

A personal quality that enables an individual to attract, inspire, and influence others through their presence and communication style.

Ethics

The philosophical study of morality.

Normative Theory

A framework that describes how things should be or how societal norms and standards guide individual actions and institutional practices.

Leader Position Power

The authority and influence possessed by a leader, derived from their official status or position within an organization.