Which of the Following Best Explains Why Price in Competitive

question 399

Multiple Choice

Which of the following best explains why price in competitive price-taker markets will tend to be driven to the minimum per-unit cost?

• A) homogeneous products.
• B) few sellers.
• C) firms face downward-sloping demand curves.
• D) free entry and exit.

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Definitions:

Goodness of Fit

The degree to which an individual's temperament, behaviors, and attributes are compatible with the demands or expectations of their social environment.

Child's Temperament

Refers to the innate traits that determine a child's approach to the world, including their activity level, reactivity, and the way they regulate emotions.

Adaptability

The ability to adjust to new conditions, challenges, or environments effectively.

Stranger Anxiety

The fear and caution exhibited by infants and young children when encountering unfamiliar individuals.