In Imperfectly Competitive Markets,"administered" Prices Usually Change Than Prices in Perfectly

question 91

Multiple Choice

In imperfectly competitive markets,"administered" prices usually change than prices in perfectly competitive markets,because _ .

• A)less often; changing prices is costly
• B)more often; perfectly competitive firms are price takers
• C)more often; price becomes a strategic choice
• D)more often; they are more flexible
• E)less often; changing prices is costless

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Definitions:

Negligently

Acting with a lack of care or attention expected under the circumstances, often resulting in harm or damage.

Franchise Contracts

Legal agreements granting the right to operate a business under the franchisor's brand and systems in exchange for fees or royalties.

Limited Partnership

A form of partnership consisting of at least one general partner, who manages the business and is liable for debts, and one or more limited partners, who invest but do not manage and have limited liability.

General Partner(s)

Individuals in a partnership who have unlimited liability and are involved in the day-to-day management of the business.