Which of the Following Is Not a Condition of a Contestable

question 34

Multiple Choice

Which of the following is not a condition of a contestable market?

• A)There is easy entry into and costless exit from the market.
• B)New firms entering the market can produce the product at the same cost as current firms.
• C)Firms exiting the market can easily dispose of their fixed assets by selling them elsewhere.
• D)New firms entering the market produce a higher-quality product than existing firms.

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Definitions:

Life Span

The maximum duration of life, or the length of time an individual or entity exists from birth to death.

Specialization

A process or strategy of focusing on a narrow area of knowledge or skill, often to achieve higher levels of expertise in that area.

Professional Psychology

The field that encompasses the application of psychological knowledge and techniques to solve practical problems in human behavior.

Clinical Psychology

Clinical psychology is a branch of psychology focused on diagnosing and treating mental, emotional, and behavioral disorders through various therapeutic techniques.