Firms That Operate in Competitive Product Markets and Choose to Practice

question 406

Multiple Choice

Firms that operate in competitive product markets and choose to practice discrimination in hiring workers

• A)will survive if they increase production and garner a larger market share.
• B)will eventually earn zero economic profits.
• C)will survive as long as they are willing to have a smaller market share.
• D)are likely to eventually go out of business.

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Definitions:

Binomial Formula

A mathematical formula used to determine the number of successes in a fixed number of trials in a binomial experiment, given the probability of success in each trial.

Independent

Refers to a variable in an experiment or study that is purposely manipulated or changed to observe its effect on other variables.

Successful Operations

Activities or series of activities within a process which achieve the intended goals or objectives efficiently and effectively.

Poisson Approximation

A statistical technique used to approximate the probabilities of events with a very low probability over a large number of trials.