Relative to a Competitive Situation, If a Market Lacks Competition

question 107

Multiple Choice

Relative to a competitive situation, if a market lacks competition, economic theory suggests that

• A) output will be lower and price higher.
• B) output will be higher and price lower.
• C) both output and price will be higher.
• D) both output and price will be lower.

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Definitions:

Population Location

A term that typically refers to the central value or position of a statistical population.

One-sample T-test

A statistical test used to determine whether a sample mean significantly differs from a known or hypothesized population mean.

Kruskal-Wallis Test

A non-parametric method used to determine if there are statistically significant differences between two or more groups of an independent variable on a continuous or ordinal dependent variable.

Kruskal-Wallis Test

A non-parametric method for testing whether samples originate from the same distribution.