Exhibit 21-4 ​

question 196

Multiple Choice

Exhibit 21-4
​

-Refer to Exhibit 21-4. Curve C is a(n) __________ cost curve.

• A)marginal
• B)average variable
• C)average total
• D)average fixed

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Definitions:

Quality and Design

Aspects of products or services that dictate their overall appeal, functionality, and satisfaction to the consumer.

Collusively

Collusively involves cooperating in a secretive or illegal manner, often used to describe businesses that agree to fix prices or divide markets amongst themselves.

Degrees of Competition

The spectrum of market structures that varies from one extreme of perfect competition to the other of monopoly, including monopolistic competition and oligopoly in between.

Oligopoly

A market structure dominated by a small number of large companies, leading to limited competition.