The Invisible Hand Property 2 suggests that:
A) profits across competitive industries will be different.
B) profits across competitive industries will be identical.
C) unprofitable industries will grow at the expense of other more profitable industries.
D) capital and labor can only move within a given industry.

Question

Quizplus · Accepted Answer

The Invisible Hand Property 2 suggests that in a competitive market, resources will be allocated in such a way that profits across industries will tend to equalize, as capital and labor move to where they are most efficiently used.

The Invisible Hand Property 2 Suggests That