Adam smith’s invisible hand concept suggests that a competitive market outcome ?

Related Mcqs:

If a buyer’s willingness to pay for a new Honda is Rs20,000 and she is able to actually buy it for Rs18,000 her consumer surplus is ?

A. Rs18,000 B. Rs20,000 C. Rs2,000 D. Rs0....

Suppose there are three identical vases available to be purchased. Buyer 1 is willing to pay Rs30 for one, buyer 2 is willing to pay Rs25 for one, and buyer 3 is willing to pay Rs20 for one. If the price is Rs25, how many vases will be sold and what is the value of consumer surplus in this market ?

A. Three vases will be sold, and consumer surplus is Rs80 B. One vase will be sold, and consumer surplus is Rs5. C. One vase will be sold, and consumer surplus is Rs30. D. Three vases will be sold, and consumer surplus is Rs0. E. Two vases will be sold, and consumer surplus is Rs5....

Suppose that the price of a new bicycle is Rs300 Natalie values a new bicycle at Rs 400 it costs Rs200 for the seller to produce the new bicycle. What is the value of total surplus if Natalie buys a new bike ?

A. Rs500 B. Rs300 C. Rs200 D. Rs400...

If buyers are rational and there is no market failure ?

A. free market solutions are efficient B. free market solutions maximize total surplus C. all of these answers D. free market solutions are equitable E. free market solutions are efficient and free market solutions maximize total surplus...

If a producer has market power (can influence the price of the product in the market) then free market solutions ?

A. are equitable. B. are efficient C. maximize consumer surplus D. are inefficient...