What Term Describes the Ability to Produce Something at a Lower

question 57

Multiple Choice

What term describes the ability to produce something at a lower opportunity cost than others are able to?

• A)Increased production possibilities.
• B)Factor endowments.
• C)Increasing returns to scale.
• D)Comparative advantage.

---

Definitions:

Used Product

A term referring to items that have been previously owned and utilized by one or more persons before being sold or given to a new owner.

Everyday Low Pricing

A pricing strategy where a company consistently offers products at low prices rather than relying on sales, discounts, or promotions.

Promotional Allowances

Incentives provided by manufacturers to retailers or wholesalers that may include price reductions, advertising support, or payment for shelf space, aiming to encourage the promotion of products.

Manufacturer List Prices

The recommended retail price set by manufacturers for their products, often used as a starting point for negotiations between retailers and wholesalers.