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A Laissez-Faire Economy Is One in Which Individual People and Firms

question 158

True/False

A laissez-faire economy is one in which individual people and firms pursue their own self-interest without any central direction or regulation.


Definitions:

Conditioned Reinforcer

Any stimulus that is not originally reinforcing but that acquires reinforcing power through association with a stimulus that is reinforcing, such as money.

Conditioned Reinforcer

A stimulus that gains its reinforcing power through association with a primary reinforcer and is used to reinforce behaviors not naturally related to it.

Novelty

The state or quality of being new, original, or unusual, often stimulating interest or attention.

Positive Reinforcement

A method in behavioral psychology where the probability of a behavior increasing is enhanced by rewarding a positive outcome immediately following that behavior.

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