In a Competitive Market, the Actions of Any Single Buyer

question 136

Multiple Choice

In a competitive market, the actions of any single buyer or seller will

• A)have a negligible impact on the market price.
• B)have little effect on market equilibrium quantity but will affect market equilibrium price.
• C)affect marginal revenue and average revenue but not price.
• D)adversely affect the profitability of more than one firm in the market.

---

Definitions:

Total Amount

The complete sum or quantity of something, encompassing all parts or units counted.

Willing to Pay

The maximum amount an individual is prepared to spend to acquire a good or service.

Utility Function

A mathematical representation in economics that describes how consumers allocate their income across different goods and services to maximize their utility or satisfaction.

Bureau of Fisheries

A government agency or department that manages and regulates fisheries, fish habitats, and sometimes aquatic environments to ensure sustainable use and conservation.