According to Adam Smith, the "invisible hand" refers to
The "best interests of society" (public interest) will occur as an outcome of the market process coordinating the self-interested interactions of buyers and sellers (private interest)
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In the open-economy macroeconomic model, if there is currently a surplus in the foreign exchange market, the quantity of desired net exports will increase as the market moves to equilibrium
a. True b. False Indicate whether the statement is true or false
Supply-side economists argue ______ the regulation of product markets because regulation _______ economic growth.
A. in favor of; stimulates B. against; stimulates C. in favor of; inhibits D. against; inhibits
In a Bertrand model with identical firms and a non-differentiated product, price will increase in response to
A) an increase in the number of firms. B) a decrease in the number of firms. C) an increase in marginal cost. D) a decrease in marginal cost.
Because of the positive externality of vaccinations, economic efficiency would be improved
A) if fewer people were vaccinated. B) if more people were vaccinated. C) only if all people were vaccinated. D) only if no people were vaccinated.