In the Long Run, Which of the Following Is Present

question 282

Multiple Choice

In the long run, which of the following is present in a perfectly competitive market?

• A) barriers to entry
• B) many firms in the market
• C) firms incurring an economic loss in the long run
• D) firms making an economic profit in the long run

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Definitions:

Tax Burden

The measure of taxes that an individual or business must bear, often expressed as a percentage of income or profit.

Legal Assignment

The transfer of a property right or title to some particular benefit, usually from one party to another, under the terms of a legal agreement.

Social Security Tax

A tax that funds the Social Security program, which is levied on both employers and employees to provide financial assistance to retirees, disabled individuals, and survivors.

Withholding Rate

The percentage of an employee's pay that is not included in their take-home pay because it is held back for taxes.