Which of the following terms relates to the laws of supply and demand, the division of labour and mass production?
Economic liberalism
Socialism
Protectionism
Communism
The term that relates to the laws of supply and demand, the division of labour, and mass production is Economic liberalism.
The term that relates to the laws of supply and demand, the division of labor, and mass production is Economic Liberalism.
The term that relates to the laws of supply and demand, the division of labor, and mass production is Economic liberalism.
To understand this, let's briefly explain the concepts mentioned.
1. Laws of supply and demand: These are fundamental principles in economics. The law of supply states that the quantity of a good or service that producers are willing to offer increases as its price rises. On the other hand, the law of demand states that the quantity of a good or service that consumers are willing to buy decreases as its price rises.
2. Division of labor: This refers to the specialization of tasks or jobs within a production process. It involves breaking down a complex task into simpler tasks and assigning them to different individuals or groups. This allows for increased efficiency and productivity.
3. Mass production: This is a method of producing large quantities of goods using standardized processes and machinery. It aims to maximize efficiency and reduce costs by producing goods in large volumes.
Now, let's connect these concepts to the given options.
- Socialism and Communism: These terms relate to different economic and political systems where the means of production are owned and controlled by the state or the community as a whole. While these systems don't necessarily negate the laws of supply and demand, their primary focus lies on achieving social equality rather than maximizing market efficiency.
- Protectionism: This term refers to the practice of imposing restrictions on trade (such as tariffs or import quotas) to protect domestic industries from foreign competition. While it can influence the supply and demand dynamics of specific industries, it is not directly related to the concepts of division of labor or mass production.
- Economic liberalism: This term, also known as free-market capitalism, emphasizes individual liberty, private ownership, and minimal government intervention in economic affairs. It is based on the principles of supply and demand, division of labor, and the pursuit of profit. Economic liberalism promotes free trade, competition, and entrepreneurship, which are essential for the operation of markets and mass production.
Therefore, the correct term relating to the laws of supply and demand, the division of labor, and mass production is Economic liberalism.