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aivan3 [116]
2 years ago
11

According to the invisible hand theory, efficiency is dependent on the activity of interacting in free markets

Business
2 answers:
Dmitrij [34]2 years ago
8 0

According to the invisible hand theory, the wealth of nation is dependent on the activity of <em>self-interacted individuals</em> interacting in free markets.

<h3>What is invisible hand theory?</h3>

The unseen forces that steer the free market economy are represented by the metaphor of the invisible hand. The best interests of society as a whole are served by allowing individuals to act in their own self-interest and with<em> freedom to produce and consume.</em> Prices and trade flow naturally as a result of the ongoing interaction of individual influences on <em>supply and demand in the market.</em>

The metaphor of the invisible hand describes how self-interested people behave in a free market economy through a network of interconnectedness. In his books The Theory of Moral Sentiments from 1759 and an Inquiry Into the Nature and Causes of the Wealth of Nations from 1776, <em>Adam Smith </em>introduced the idea.

Learn more about invisible hand theory here brainly.com/question/1056081

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AfilCa [17]2 years ago
6 0

The invisible hand theory states that the <u>wealth of nation</u> is dependent on the activity of interacting in free markets.

<h3>What is invisible hand theory?</h3>

This refers to the tendency of the market prices to direct an individuals into pursuing their own self interests into productive activities which consequently promote economic well-being of society.

Hence, the invisible hand theory states that the <u>wealth of nation</u> is dependent on the activity of interacting in free markets.

Read more about invisible hand theory

<em>brainly.com/question/3078419</em>

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Explanation:

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Service Cost Flows Number the following activities from 1 to 3 in the order corresponding to the typical flow of cost in a CPA f
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Answer:

following are the answer to this question:

Explanation:

Following are the flows to this question:  

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It's the conventional flow, which operates after the research, that was ended, and the number of human hours and its cost for the individual customer was established.

8 0
3 years ago
An important function of the regional Federal Reserve Banks is Question 2 options: A) clearing checks. B) determining monetary p
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Answer:

B) determining monetary policy AND D) setting reserve requirements.

Explanation:

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3 0
3 years ago
According to the text, how many steps are involved in the consumer decision making process?.
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Answer:

5- steps

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3 years ago
Flying Cloud Co. has the following operating data for its manufacturing operations: Unit Selling price $250 Unit Variable Cost 1
Ket [755]

Answer:

Option (A) is correct.

Explanation:

Initial break even:

Let x be the no. of units in the initial break even.

Sales = Costs

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250 × x = 100 × x + 840,000

150 × x = 840,000

x = 5600 units

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= Unit Variable Cost + 10% of Unit Variable Cost

= 100 + 100 × 0.10

= 110

4% increase in fixed cost(new):  

= Total fixed costs + 4% of Total fixed costs

= 840,000 + 840,000 * 0.04

= 873,600

Break Even:

Let y be the no. of units in the break even.

Sales = Costs

Unit Selling price × No. of units = Unit Variable Cost new × No. of units + Total fixed costs new

250 × y = 110 × y + 873,600

140 × y = 873,600

y = 6,240

Change = y - x

Change = 6,240 - 5,600

Change = 640 increase

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3 years ago
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