For a Perfectly Competitive Industry, Diminishing Marginal Returns

question 307

Multiple Choice

For a perfectly competitive industry, diminishing marginal returns

• A) occur only in the short run.
• B) occur only in the long run.
• C) occur in both the short run and in the long run.
• D) Diminishing marginal returns do not occur in perfectly competitive industries.

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Definitions:

Antihistamines

Medications used to relieve or prevent the symptoms of allergies and colds by blocking the action of histamine in the body.

Seasonal Allergies

Allergic reactions to airborne substances such as pollen, that occur during specific seasons causing symptoms like sneezing and congestion.

Viral Illness

Illnesses caused by viruses, which are microscopic infectious agents that can lead to a wide range of diseases, from the common cold to more severe illnesses.

Carbohydrate-containing Liquids

Liquids that include sugars or substances that can be broken down into sugars, providing energy to the body.