Economists believe that socially good outcomes arise whenever:

Question

Quizplus · Accepted Answer

Economists believe that socially good outcomes arise when individuals pursue their self-interest in ways that align with the social interest, meaning that they benefit themselves while also benefiting others. This idea is based on the principle of mutual gain or mutual benefit, which suggests that people are willing to engage in mutually beneficial exchanges that improve their overall welfare, even if they only intend to benefit themselves. Thus, pursuing self-interest alone (option A) or without regard to social interest (option D) is unlikely to result in socially good outcomes. Option B is too broad and vague, as it implies that any outcome, whether socially good or bad, can arise from either self-interest or social interest being pursued.

Economists Believe That Socially Good Outcomes Arise Whenever