The Philosophy That Social Progress Comes When Individuals Freely Pursue

question 8

Multiple Choice

The philosophy that social progress comes when individuals freely pursue their self-interests in unregulated markets is known as:

• A) socialism.
• B) mercantilism.
• C) imperialism.
• D) economic liberalism.

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Definitions:

Implicit Collusion

An understanding or arrangement among competitors where they cooperate indirectly by making similar business decisions without explicit agreement.

Cartel Activities

Actions taken by a group of independent market participants who collude to raise prices, limit supply, or control markets in some other way.

Sherman Act

A landmark federal statute in the field of United States antitrust law passed in 1890 that prohibits monopolistic practices and promotes competition.

Antitrust Laws

Legislation intended to promote competition and prevent monopolies and unfair business practices.