Adam Smith, in his book, The Wealth of Nations, advocated:

a. socialism.
b. an economy guided by an "invisible hand."
c. government control of the "invisible hand."
d. the adoption of mercantilism.

b

Economics

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If a firm's demand for labor is elastic, a union-negotiated wage increase will:

A. necessarily be inflationary. B. cause the firm's total payroll to increase. C. cause the firm's total payroll to decline. D. cause a shortage of labor.

Economics

Which of the following does not necessarily apply to a pure monopoly?

A. The product the firm produces must have no close substitutes B. The firm must be the sole producer of a product C. The firm will charge the highest price possible D. Entry must be blocked

Economics