When Managers of Firms in a Competitive Market Observe Falling

question 22

Multiple Choice

When managers of firms in a competitive market observe falling profits, they may infer that the market is experiencing

• A)a violation of conventional market forces.
• B)over-investment.
• C)the entry of new firms.
• D)too few firms in the market.

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Definitions:

Policing Policies

Strategies and procedures established by law enforcement agencies to maintain public order and safety.

Human Rights

Human rights are fundamental rights believed to belong to every person, including freedom, equality, and the ability to live free from discrimination and abuse.

Criminal Justice System

An organized set of legal and governmental institutions that aim to maintain social control, deter and mitigate crime, and sanction those who violate laws with criminal penalties and rehabilitation efforts.

Cultural Relativism

The concept that beliefs, values, and practices should be understood based on an individual's own culture, rather than judged against those of another.