If There Is an Increase in Market Demand in a Perfectly

question 229

Multiple Choice

If there is an increase in market demand in a perfectly competitive market, then in the short run

• A)there will be no change in the demand curves faced by individual firms in the market.
• B)the demand curves facing firms will shift downward.
• C)the demand curves facing firms will become more elastic.
• D)profits will rise.

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Definitions:

Analytic Comparisons

Comparisons made using analytical methods to understand differences or similarities between groups or variables.

Planned Comparisons

Comparisons built into a research design prior to data collection.

F-ratio

A ratio used in ANOVA tests to determine whether the variances between means are significantly different.

T-test

A statistical test used to compare the means of two groups to determine if there is a significant difference between them.