Use the Following to Answer Question

question 127

Multiple Choice

Use the following to answer question:
Figure: Comparing Long-Run Equilibriums
-(Figure: Comparing Long-Run Equilibriums) Use Figure: Comparing Long-Run Equilibriums.Which statement is TRUE?

• A)Firms in the market structure shown in panel (a)cannot have profits in the long run,but those in panel (b)can.
• B)Both panels show markets that have few interdependent firms.
• C)Both panels show markets that produce identical products.
• D)Both panels show markets that have many firms.

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Definitions:

Genetics

The scientific study of heredity and the variation of inherited characteristics.

Environment

The surrounding conditions or settings in which a person, plant, or animal lives or operates, encompassing both natural and man-made influences.

Shape Constancy

The tendency to perceive objects as being the same shape even though the shapes of their images on the retina may differ when the objects are viewed from different positions.

Perceptual Constancy

The tendency to perceive objects as the same even though the sensations produced by them may differ when, for example, they differ in position or distance.