If a Good Has Only One Producer, with No Threat

question 62

Multiple Choice

If a good has only one producer, with no threat of competition, the market for this good likely:

• A) has greater consumer surplus than in a competitive equilibrium.
• B) has the price set inefficiently high.
• C) has the price set below the competitive equilibrium price.
• D) is efficient.

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Definitions:

Be With Other People

The act of spending time in the company of others to engage in social activities, communication, or for the purpose of establishing relationships.

Belong

The innate human need to be an accepted member of a group, whether it's family, friends, or a larger social context.

Affiliation Motive

The innate need to form and maintain interpersonal relationships and feel connected to others.

Threatened

Feeling threatened involves experiencing fear or anxiety over a perceived risk or danger to one's safety, well-being, or position.