The invisible hand refers to
A)Intervention in the economy by the government bureaucrats we do not see and over whom we have no control.
B)Undiscovered natural resources.
C)The allocation of resources by market forces.
D)The person who has the responsibility to coordinate all the markets in a market economy.

Question

Quizplus · Accepted Answer

The invisible hand refers to the allocation of resources by market forces. It's the idea that self-interested individuals operating in a market economy will naturally be guided by an unseen force that will lead them to make choices that benefit society as a whole. This is because the individuals, in seeking to maximize their own economic interests, end up creating an efficient allocation of resources that benefits society as a whole.

The Invisible Hand Refers to