Which of the Following Best Describes a Firm That Is

question 53

Multiple Choice

Which of the following best describes a firm that is a price taker?

• A) It will lose all sales if it prices its product in excess of the market equilibrium price.
• B) It competes with other producers who produce differentiated products.
• C) It can exert a major influence on the overall market.
• D) It must be a relatively large producer compared to other firms in the market.

---

Definitions:

Probability Sample

A sampling method in which every member of the population has a known and non-zero chance of being selected for the study, allowing for generalized conclusions.

Voluntary Response Sample

A sampling method where participants self-select to be a part of a study, often leading to biased results due to the non-random nature of the sample choice.

Researcher Bias

Researcher bias refers to a systematic error introduced into sampling or testing by selecting or encouraging one outcome or answer over others, which can affect the validity and reliability of research findings.

Response Rate

The percentage of people who answer or participate in a survey or study compared to the total number surveyed.