When a Good or Service Is Supplied Under Competitive Conditions

question 491

Multiple Choice

When a good or service is supplied under competitive conditions, economic analysis indicates that with the passage of time, the quality of the product will

• A) tend to improve, but its real price will generally rise.
• B) tend to improve, and its real price will generally fall.
• C) decline, and its real price will generally rise.
• D) decline, and its real price will fall.

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Definitions:

Elaboration

The process of adding more detail to existing information, often enhancing learning and memory.

Definitions

The meanings, descriptions, or explanations of words or concepts.

Real-world

relating to or involving practical, everyday life situations outside of a controlled experimental or theoretical context.

Material

Physical substances from which objects can be made or concerning the physical rather than the spiritual or intellectual aspects.