The invisible hand principle indicates that competitive markets can help promote the efficient use of resources
What will be an ideal response?
even when market participants care only about their own self interests rather than about the overall efficiency of resource use.
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The difference between what can be produced and consumed without specialization and trade and with specialization and trade is called:
a. comparative advantage. b. a tradeoff. c. marginal cost. d. opportunity cost. e. gains from trade.
Governmental rules that significantly promoted entrepreneurship first became prominent during the
a. Great Recession. b. Age of Enlightenment. c. Great Depression. d. Industrial Revolution.
An interesting development that happened in late 2008, relating to the Fed and bank reserves, is that the Fed:
A. Reduced the reserve ratio drastically B. Required banks to hold more excess reserves C. Started paying interest on the banks' reserves D. Gave back all the reserves to the banks to hold as vault cash
To motivate the employees of a company to change and follow a new mission, it is important to:
A. move overseas for most of the production. B. change the company's organizational architecture. C. rely on standard U-form organizational structures. D. outsource marketing and advertising.