In Principle,a Comparison of the Long- Run Equilibrium of Competitive

question 83

Multiple Choice

In principle,a comparison of the long- run equilibrium of competitive and (single- price) monopoly industries leads to the following conclusion:

• A)neither industry is capable of allocative efficiency.
• B)both the competitive industry and the monopoly will allocate resources efficiently.
• C)the competitive industry will achieve productive efficiency but the monopoly will not.
• D)the competitive industry is consistent with allocative efficiency whereas the monopoly is not.
• E)both the competitive industry and the monopoly will allocate resources inefficiently.

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Definitions:

Situation Attributes

The characteristics or features of a particular situation or context that can influence outcomes or decisions.

Beliefs, Values, or Needs

Refer to the fundamental convictions, principles, or requirements that guide an individual's or group's behavior and decision-making processes.

Gender Stereotyping

The practice of ascribing to an individual or group specific attributes, characteristics, or roles by reason only of their gender.

Impression Management

The process by which individuals attempt to control or influence the perceptions of others about themselves.