The "Invisible Hand" Refers to

question 50

Multiple Choice

The "invisible hand" refers to

• A)the marketplace guiding the self-interests of market participants into promoting general economic well-being.
• B)the fact that social planners sometimes have to intervene,even in perfectly competitive markets,to make those markets more efficient.
• C)the equality that results from market forces allocating the goods produced in the market.
• D)the automatic maximization of consumer surplus in free markets.

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Definitions:

Licensing

The process of granting permission by one party to another to use a trademark, patent, or technology under agreed terms and conditions.

Market Entry Strategy

Refers to the planned method of delivering goods or services to a new target market and distributing them there.

Profit Potential

The capacity for future financial returns or earnings.

Market Entry

The strategies or methodologies used by a company to start selling its products or services in a specific market or geographic area.