In a Contestable Market There Does Not Always Need to Be

question 9

True/False

In a contestable market there does not always need to be actual competition to keep prices relatively low - just the threat of competitors entering the market.

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Definitions:

Direct Commands

Instructions given clearly and unequivocally, expecting immediate compliance.

Compliance

When people yield to social pressure in their public behavior, even though their private beliefs have not changed.

Obedience

The act of following the directives of authority figures.

Emergency

A sudden, urgent, usually unexpected occurrence requiring immediate action or attention.