Bachelor of General Studies (BGS) Degree Practice Exam

Which power allows stakeholders to use resources to achieve a desired outcome?

1. Informational power.

2. Economic power.

3. Legal power.

4. Political power.

The correct answer is: Economic power.

The correct answer is rooted in the influence that stakeholders have when they harness their resources to pursue specific objectives and outcomes. Economic power pertains to the capacity of stakeholders, including individuals or organizations, to leverage financial resources and other economic assets to effect change or achieve goals. This power is exemplified through the ability to fund initiatives, influence market dynamics, and drive decisions that align with their interests. In many scenarios, stakeholders utilize their economic power to negotiate with other parties, advocate for certain policies, or invest in projects that serve their strategic objectives. By controlling financial resources, they can sway decisions and prioritize initiatives that are beneficial for their agenda, thereby achieving desired results. Other options do not directly relate to the specific ability to utilize resources for outcomes. For instance, informational power involves the ability to influence others by virtue of having access to valuable information or expertise, but it does not necessarily imply resource management in the economic sense. Legal power pertains to the ability to influence outcomes through legal authority or regulations, which can be quite effective but operates in a different context than economic influence. Political power involves the capacity to influence decisions through governance and policy-making, which also taps into broader systems of authority rather than direct resource utilization for achieving specific goals. Therefore, economic power is the