Without Government Intervention in Competitive Markets

question 128

Multiple Choice

Without government intervention in competitive markets:

• A)evidence of discrimination in market economies is generally quite prevalent
• B)discrimination is motivated by profit-maximising entrepreneurs
• C)the inequity of discrimination cannot be rectified
• D)evidence of employer discrimination is rare

---

Definitions:

Implicit Costs

The opportunity costs associated with a company's use of resources that it owns, representing the potential income lost by not using those resources in an alternative way.

Total Revenues

The overall sum of money earned by a business from its sales of goods or services, calculated without deducting any expenses.

Marginal Product

The incremental increase in output resulting from the use of one additional unit of a resource, while keeping other resources constant.

Variable Resource

A factor of production whose quantity can easily be changed in the short term to increase or decrease production levels.