Adam Smith's ________ refers to the process by which individuals acting in their own self-interest bring about a market outcome that benefits society as a whole
A) survival of the fittest theory B) invisible hand
C) Utopian society D) comparative advantage model
B
You might also like to view...
The process by which simultaneous withdrawals by a particular bank's depositors results in the bank closing is known as a
A) contagion. B) bank run. C) financial crisis. D) bank panic.
What can the Fed do to decrease the supply of money?
a. open market purchases of government bonds b. increase reserve requirements c. decrease the discount rate d. any of the above
There is a debate over how much of the female-male wage gap is due to differences in labor market differences. What is one reason why this is highly debated?
A. Men and women willingly choose to work different occupations. B. Even if, conditioning on age, women have less labor market experience than men, this difference itself may be due to discrimination. C. There is little evidence that men and women have different labor market experience after conditioning on age and education. D. Men and women vary greatly in their education levels. E. Men and women vary greatly in their productivity.
Health insurance companies face an asymmetric information problem because:
A. insurance companies have superior information concerning the risk of illness or injury of those insured. B. buyers have superior information concerning their risk of illness or injury. C. the insurance companies and buyers both have equal information concerning the risk of illness or injury of those insured. D. the probability of becoming ill or injured is unrelated to the insured person's occupation.