When oil prices increased to record levels in the 1970s, salaries dramatically increased for petroleum geologists skilled in finding oil. Those geologists who moved from other areas to the higher paying jobs were
A) seeking to profit from society's needs rather than following the guidance of the invisible hand, which would have led them to seek jobs serving society rather than jobs with higher pay.
B) following the guidance of the invisible hand and probably serving society's best interests as well as their own.
C) causing oil prices to rise even more by moving to jobs with higher salaries.
D) helping themselves but hurting the economy.

Question

Quizplus · Accepted Answer

The invisible hand concept suggests that individuals seeking their own economic self-interest can inadvertently benefit society. By moving to higher-paying jobs, geologists were responding to market demands, which likely helped increase oil supply and stabilize prices, thus serving society's needs.

When Oil Prices Increased to Record Levels in the 1970s