When Firms in a Competitive Market Have Different Costs, It

question 144

Multiple Choice

When firms in a competitive market have different costs, it is likely that:

• A)the market will no longer be considered competitive
• B)free entry and exit in the market is likely to be violated
• C)some firms will earn economic profits in the long run
• D)long-run market supply will be downward-sloping

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Definitions:

Volume Control

The mechanism or system used to adjust the loudness of audio output in electronic devices or sound systems.

Short-Term Memory

The capacity for holding a small amount of information in an active, readily available state for a short period.

Long-Term Memory

A type of memory storage that holds information indefinitely and has essentially an unlimited capacity.

Procedural Memories

A type of long-term memory involved in learning and performing tasks and skills, such as riding a bike or typing, which operates often without conscious awareness.