Which of the Following Statements Is Correct

question 325

Multiple Choice

Which of the following statements is correct?

• A)Monopoly firms tend to be more internally efficient than competitive firms because they have a single goal of profit maximization.
• B)Monopoly firms are sheltered from competitive forces, and such an environment makes them subject to X-inefficiency.
• C)Monopoly firms are in industries with low barriers to entry that tend to lower the cost of producing products.
• D)Competitive firms tend to be more efficient than monopolist firms because they maximize per unit profits, not total profits.

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Definitions:

Form Of Government

The system by which a community, state, or nation is governed, characterized by its structure, functions, and the distribution of power among its various components.

Resources Expended

The amount of materials, labor, and capital used in the production of goods or services.

Federal Government

The national government of a federal country, which holds the authoritative powers conferred to it by a constitution.

Deficit

A deficit occurs when an entity's expenditures exceed its revenues over a specified period, often referring to government budgets.