Technological Change Allows Perfectly Competitive Firms to ________ and Leads

question 72

Multiple Choice

Technological change allows perfectly competitive firms to ________ and leads to ________.

• A) lower their costs; lower prices for consumers
• B) raise their prices; higher prices for consumers
• C) lower their costs; higher prices so the firms can earn economic profits in the long run
• D) raise their costs; higher prices and maximum profits in the long run
• E) lower their costs; deadweight loss

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Definitions:

Stanley Milgram

An American social psychologist best known for his research on obedience to authority.

Experimenter's Orders

Instructions given by researchers to participants in an experiment, which can influence the behavior or responses of those participants.

Obedience

The act of following orders or commands from those in authority, often studied within social psychology to understand how individuals respond to authority figures.

Implicit Prejudice

Unconscious biases or attitudes towards certain groups of people, which can influence behavior without the individual being aware of it.