When New Firms Have an Incentive to Enter a Competitive

question 42

Multiple Choice

When new firms have an incentive to enter a competitive market, their entry will:

• A)leave market prices unchanged
• B)drive down profits of existing firms in the market
• C)leave the quantity of goods supplied in the market unchanged
• D)do all of the above

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Definitions:

Sphygmomanometer Gauge

A device used to measure blood pressure, typically consisting of a dial, numeric display, or mercury column.

Sphygmomanometer Gauge

is a device used to measure blood pressure, part of a sphygmomanometer, which includes a gauge to display the pressure reading.

Sphygmomanometer Gauge

A device used to measure blood pressure, typically consisting of a cuff, a pump, and a meter to display pressure readings.

Left Ventricle

The chamber of the heart that pumps oxygenated blood out to the body through the aorta.