Consider the Following Characteristics of a Particular Industry

question 27

Multiple Choice

Consider the following characteristics of a particular industry:
- there is freedom of entry and exit
- in long- run equilibrium, each firm is producing a level of output where there are increasing returns to scale
This industry is likely to be

• A) highly concentrated.
• B) perfectly competitive.
• C) monopolistically competitive.
• D) an oligopoly.
• E) a cartel.

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Definitions:

Peristalsis

A series of wave-like muscle contractions that moves food through the digestive tract.

Mass Movement

Forcible peristaltic movement of short duration, occurring only three or four times a day, which moves the contents of the large intestine.

Segmental Contraction

A type of muscle contraction that occurs in the digestive tract, helping move food through the intestines by constricting and relaxing sections of the muscle in a sequential manner.

Segmental Contractions

Contractions in the intestines that mix and move contents by periodically constricting sections of the organ while relaxing others.