Use the Figure to Answer the Following Question(s)

question 6

Multiple Choice

Use the figure to answer the following question(s) .
Figure 10-2
-If the cost and demand conditions of this competitive price-searcher firm depicted in Figure 10-2 are representative of the market, what will happen in the future?

• A) Firms will go out of business, and the market price will rise.
• B) The current market price will tend to persist into the future.
• C) New firms will enter the market, and demand facing this firm will decline.
• D) The firms in this industry probably will collude in order to increase their profitability.

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Definitions:

Sympathy

Feelings of pity and sorrow for someone else's misfortune.

Behavioural Expression

The outward display or manifestation of an individual's behavior, including verbal and non-verbal communications, gestures, and actions.

Innate

Possessed from birth; inherent or natural characteristics not gained through experience.

Basic Emotions

Fundamental emotions that are universal across human cultures and believed to be innate, such as happiness, sadness, fear, anger, surprise, and disgust.