Factor Markets Are Different from Product Markets in an Important

question 293

Multiple Choice

Factor markets are different from product markets in an important way because

• A)equilibrium is the exception, and not the rule, in factor markets.
• B)the demand for a factor of production is a derived demand.
• C)the demand for a factor of production is likely to be upward sloping, in violation of the law of demand.
• D)All of the above are correct.

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Definitions:

Virtual Teams

Groups of people who work together from different geographical locations and rely on communication technology such as email, video or voice conferencing, and file sharing.

Physically Dispersed Teams

Groups whose members are located in different physical locations and often coordinate their work through technology.

Physical Distance

The measurable space between people, which can impact interactions and the dynamics of social and professional relationships.

Team Members

are individuals who belong to a team and work together towards achieving a common goal.