Refer to the Information Provided in Figure 12

question 187

Multiple Choice

Refer to the information provided in Figure 12.4 below to answer the question(s) that follow. Figure 12.4
There are two sectors in the economy, X and Y, and both are in long-run, zero-profit equilibrium at the intersections of S^{0 and D0.}
-Refer to Figure 12.4. Currently in sector Y, price is

• A) greater than average cost.
• B) less than average cost.
• C) equal to average cost.
• D) More information is needed to answer the question.

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Definitions:

Systematic Desensitization

A behavioral therapy technique used to reduce phobic responses and anxiety through gradual exposure to the feared object or situation paired with relaxation techniques.

Relaxation

The act or state of reducing tension or stress, often achieved through techniques such as meditation, deep breathing, or muscle relaxation exercises.

Fear Response

The automatic, immediate reaction to a threatening situation, often characterized by physiological changes like increased heart rate.

Unconditioned Stimulus

In classical conditioning, this is a stimulus that elicits a natural, reflexive response without the need for prior learning.