In Economics, Firms Are Assumed to

question 154

Multiple Choice

In economics, firms are assumed to

• A)maximize output prices.
• B)minimize output prices.
• C)maximize profits.
• D)maximize consumer surplus.
• E)maximize customer satisfaction.

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Definitions:

Synthesis

Gathering together different ideas into a single, unified vision. For example, the Pythagorean notion of the “harmony of the spheres” synthesizes mathematics, music, physics, and astronomy.

Creative People

Individuals who possess the ability to produce original and valuable ideas or objects.

Moral Rules

Principles or guidelines that govern ethical behavior, indicating what actions are right or wrong, permissible or impermissible, based on a moral or ethical framework.

Social Prohibitions

Rules or norms established by a society that restrict certain behaviors or actions deemed unacceptable or harmful.