Adam Smith's term for the situation in which a country has the capacity to produce more than it can sell in the domestic market is known as:
A) safety stock.
B) leftover goods.
C) capacity maximization.
D) vent for surplus.

Question

Quizplus · Accepted Answer

Adam Smith used the term "vent for surplus" to describe the situation in which a country can produce more goods than it can sell in the domestic market and needs to find a way to export them to other markets to avoid overproduction and waste.

Adam Smith's Term for the Situation in Which a Country