Question

According to adam smith, what are the two factors that regulate a marketplace? elected officials and voters the size of the town and the number of customers competition and self-interest natural resources and manufacturing

Answer 1

According to adam smith, what are the two factors that regulate a marketplace are competition and self interest.Self interest is the guide to all economic activities.One reaches his goals due to self interest. Competition is the regulator of economic activity.These two are the vital forces of the economy which helps in effective utilisation of the resources.