When Prices Are Free to Adjust Over Time,in the Long

question 121

Multiple Choice

When prices are free to adjust over time,in the long run,the market price of a good tends to:

• A)Rise above the equilibrium price in the long run.
• B)Equal the equilibrium price.
• C)Fall below the equilibrium price in the long run.
• D)Have no specific relationship to the equilibrium price.

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Definitions:

Nielsen's PRIZM

A market segmentation research tool that classifies the American population into distinct lifestyle segments to help marketers identify and target their customers and prospects.

Mass Marketing

A marketing strategy that targets a broad, undifferentiated audience with the aim of reaching as many people as possible.

Single Marketing Program

A unified strategy designed to promote a particular product or service without segmenting efforts or resources.

Behavioral Segmentation

The process of dividing a market into groups based on consumer behavior patterns as they relate to the use of a product or service.