Which of the following best describes the invisible hand concept


Asked by admin @ in Business viewed by 276 People


Which of the following best describes the "invisible hand" concept? Group of answer choices Ample regulation of business by the government will maximize the public's best interests. The market system works best when resources are free to move from one use to another. The problem of scarcity can best be overcome in a system of mixed capitalism. Self-interest in a market system will automatically promote the public interest as well

Answered by admin @



Answer:

Self-interest in a market system will automatically promote the public interest as well.

Explanation:

An economy is a function of how money, means of production and resources (raw materials) are carefully used to facilitate the demands and supply of goods and services to meet the unending needs or requirements of the consumers.

Hence, a region's or country's economy is largely dependent on how resources are being allocated and utilized, how many goods and services are to be produced, what should be produced, for whom they are to be produced for and how much money are to be spent by the consumers to acquire these goods and services.

A free-enterprise system also referred to as capitalism or free market can be defined as a type of economy in which prices, products and services are being determined by the market rather than the government. Thus, a free-enterprise system is devoid (free) of government regulations, interference or control because the market (enterprises) are the ones who are saddled with the responsibility of determining the market forces.

Simply stated, a free-enterprise system is a type of economy that is completely driven by demand and supply of goods and services.

The "invisible hand" concept asserts that the self-interest by producers and suppliers of resources in a market system will automatically promote the public interest as well.

This ultimately implies that, public and private interest will always coincide assuming there exist competition in a free market system.

In conclusion, the invincible hand concept is a metaphorical description of the unforeseen forces that typically moves a free market system or economy.


Similar Questions

Which of the following best describes the concept of federalism

Asked by maham237 @ in History viewed by 321 persons

Which of the following best describes the concept of federalism?

Asked by wiki @ in History viewed by 347 persons

Which of the following statements best describes natural law theory

Asked by admin @ in History viewed by 391 persons

Which of the following statements best describes John Locke's Social Contract Theory? a) “Humans can use their senses to discover natural laws and apply them to society.” b) “The purpose …

Which of the following best describes a learning management system

Asked by admin @ in Business viewed by 439 persons

Which of the following best describes an enterprise system? Select one: a. It captures data from company transactions and other key events, and then updates the firm’s records, which are …

Which one of the following best describes a project stakeholder

Asked by admin @ in Business viewed by 397 persons

Which statement best describes what a project manager controls? the overall choice of which work becomes a project the overall deadline when a project is due the overall resources allocated …

Which of the following best describes the heavy vehicle formula

Asked by admin @ in Physics viewed by 382 persons

Which best describes how energy changes form in a car's engine? A single transformation occurs because the chemical energy of the fuel is changed to the mechanical energy of the …

Which of the following best describes the term forensic accounting

Asked by admin @ in Business viewed by 368 persons

Which of the following best describes a matrix organization? A) an organization in which traditional boundaries and structures are minimized or eliminated. B) an approach to organizational structure developed in …

Which of the following best describes the romanesque painting style

Asked by admin @ in Arts viewed by 393 persons

Which of the following best describes the Romanesque painting style?a.simpler but less spiritual than previous stylesb.more detailed and more spiritual than previous stylesc.simpler and more spiritual than previous stylesd.none of …

Which of the following best describes one serving of fruit

Asked by admin @ in Health viewed by 457 persons

Which of the following best describes one serving of fruit? A) 1 1/2 medium bananas B) 1 small apple C) 2 Oranges D) 1 Bunch of grapes

Which of the following best describes one serving of vegetables

Asked by admin @ in Health viewed by 467 persons

Which of the following best describes one serving of vegetables? A. 1½ cups cooked carrots B. 2 cups of corn C. 2 cups steamed green beans D. 1/2 cup cooked …

Which of the following best describes term life insurance weegy

Asked by admin @ in Business viewed by 478 persons

Which of the following best describes term life insurance? a. The insured can borrow or collect the cash value of the policy. b. The insured pays a premium for a …

Which of the following statements best describes the sprint test

Asked by admin @ in Health viewed by 448 persons

Which of the following statements BEST describes the sprint test? A. It is conducted over a specified short distance. B. The sprint test begins at a slow pace that increases …

Which of the following options can best describe a shell

Asked by admin @ in Computer Science viewed by 404 persons

Which of the following options can best describe a shell? 1)Shell is a program that provides files for handling user input and output 2)Shell is a storage space for handling …

Which of the following best describes the second great awakening

Asked by admin @ in History viewed by 478 persons

Which of the following best describes the link between the Second Great Awakening and the abolition movement? The Second Great Awakening helped spark the abolition movement. The abolition movement helped …

Which of the following best describes the setting of marigolds

Asked by admin @ in English viewed by 407 persons

Which of the following best describes the setting of "Marigolds"? A. A small town in the 1980s. B. A shantytown in the 1930s. C. A hot morning in the 1950s. …

Most viewed questions in Business


Foolproof module 9 test answers

Asked by maham237 @ in Business viewed by 3324 persons


Interest rates are expressed as a percentage of

Asked by maham237 @ in Business viewed by 2115 persons



How to enhance knowledge regarding environmental factors through capsim?

Asked by wiki @ in Business viewed by 1845 persons


Match the job titles with the career clusters.

Asked by maham237 @ in Business viewed by 1485 persons


A company that allows you to license software

Asked by maham237 @ in Business viewed by 1298 persons



Lupe is ready to open a checking account

Asked by maham237 @ in Business viewed by 1292 persons


Mays and mccovey are beer brewing companies

Asked by maham237 @ in Business viewed by 1220 persons


What must be marked on ready to eat bags phfs

Asked by maham237 @ in Business viewed by 1176 persons



Coq six sigma

Asked by maham237 @ in Business viewed by 1142 persons


Henry ford was the first entrepreneur to implement which strategy

Asked by maham237 @ in Business viewed by 1087 persons


Your company was recently served with a lawsuit

Asked by maham237 @ in Business viewed by 1080 persons



Case study starting a business project schedules and curves edgenuity

Asked by maham237 @ in Business viewed by 1070 persons


The total annual expenditures on advertising in the united states

Asked by maham237 @ in Business viewed by 974 persons