Which of the Following Forces Does Not Play a Major

question 120

Multiple Choice

Which of the following forces does not play a major part in the adjustments of a monopolistically competitive industry toward its long-run equilibrium?

• A)profits/losses making firms enter or exit the industry
• B)firms expanding or shrinking their productive capacity
• C)introduction of new products and patents
• D)shifts in the demand curves of individual firms as the industry expands or contracts

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Definitions:

Equity

The concept or principle of fairness or justice in the way people are treated and opportunities are distributed.

Equality

The state of being equal, especially in status, rights, and opportunities.

Compromise

A method of resolving a disagreement where each party gives up something that was originally wanted to reach a mutually acceptable solution.

Life Fairness

The subjective assessment of the balance or equity of life circumstances and events.