Which of the following best describes the invisible-hand concept?
A)The desires of resource suppliers and producers to further their own self-interest will automatically further the public interest.
B)The inability to substitute resources creates a conflict between private and public interests and calls for government intervention.
C)The market system is the best system for overcoming the scarce resources-unlimited wants problem.
D)Central direction by the government will improve resource allocation in a capitalistic economy.

Question

Quizplus · Accepted Answer

The invisible-hand concept, introduced by Adam Smith, suggests that individuals' pursuit of their own self-interests in a free market, without intending to, benefits society as a whole through the efficient allocation of resources.

Which of the Following Best Describes the Invisible-Hand Concept