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mr_godi [17]
3 years ago
5

The phrase "invisible hand" means that:

Business
1 answer:
never [62]3 years ago
4 0

Answer:

The correct answer is letter "B": The tendency of competition to cause individuals and firms to unintentionally promote the interests of society.

Explanation:

In his book "<em>An Inquiry into the Nature and Causes of the Wealth of Nations</em>" (1776), British economist Adam Smith (1723-1790) introduced the term "invisible hand" to refer that economic factors (buyers and sellers) naturally influence in the fluctuations of supply and demand without the need for the intervention of the government.  

According to Smith, buyers and sellers interactions act as an "invisible hand" arranging proper levels of competition between businesses and promoting the best interest of societies.

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Suppose that a government agency is trying to decide between two pollution reduction policy options. Under the permit option, 10
Ksivusya [100]

Answer:

a. the cost of reducing it's existing pollution by one unit.

Explanation:

Marginal cost refers to the addition to total cost when one more unit of output is produced. Marginal cost in the given case would refer to the additional cost incurred for reducing the current pollution level by one unit.

In the given case, a firm is charged $250 for each unit of pollution emitted under the pollution tax option.

It is also stated that all the firms experience increasing marginal costs of pollution reduction.

This means, as additional units of pollution are reduced, the additional costs would go on increasing.

If a firm finds that, reducing 1 unit of pollution from the current level costs it equal or more than $250, it will opt to pay $250 since, for each subsequent unit of pollution reduction, the additional costs would rise.

7 0
3 years ago
What is one of the basic principles of economics?
Andrej [43]
I think it’s Option D

Society and it’s individuals have unlimited wants
8 0
3 years ago
For a variety of reasons, a bank sometimes will hold more reserves than is legally required. These reserves are known as excess
sweet-ann [11.9K]

Option D , The money supply will decrease as banks loan out less money.

Explanation:

Banks are lending their deposits and increasing the economic supply of money. Nevertheless, if the bank holds more money and invests less then the supply of money into the economy rises.

Conversely, the ratio increased, boosted, lowered the cash multiplier, and decreased the supply of money. Expansionary fiscal policy is the decrease in the necessary reserve ratio; contraction monetary policy is the rise in the reserve ratio.

When attempting to control the monetary supply, the Fed has two challenges. Firstly, the Federal does not regulate the amount of cash families want to keep in their accounts as deposits.  The second problem seems to be that the banks ' capital is not verified by the Fed. If the banks opt for more excess reserves and deposits, the sum of money will be lower.

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8 0
3 years ago
Read 2 more answers
When deciding what price to charge consumers, the monopolist may choose to charge them different prices based on the customers:_
Allushta [10]

When deciding what price to charge consumers, the monopolist may choose to charge them different prices based on the customers income level.

Given that monopolist chooses different prices from different customers.

We are required to give the basis on which the monopolist may charge different prices from different customers.

Monopoly is a situation in which the producer or seller charges comparatively high prices from customers.

So, the monopolist may choose to charge the different prices from different customers based on the income level of customers.

Hence when deciding what price to charge consumers, the monopolist may choose to charge them different prices based on the customers income level.

Learn more about monopoly at brainly.com/question/13113415

#SPJ4

7 0
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