Product Differentiation Causes the Seller of a Good to Face

question 331

Multiple Choice

Product differentiation causes the seller of a good to face what type of demand curve?

• A)downward sloping
• B)vertical
• C)horizontal
• D)Any of the above could be correct since product differentiation does not affect the shape of the demand curve.

---

Definitions:

Equal Chance

The principle that in a certain process, event, or situation, all outcomes or participants have the same probability or likelihood of occurring or being selected.

Correlation

A statistical measure that expresses the extent to which two variables change together; if the correlation is positive, as one variable increases, the other does as well.

Blind

The state or condition of lacking visual perception due to physiological or neurological factors.

Population

The entire group of individuals or items from which samples may be drawn for statistical measurements.