Which of the Following Is a Reason Why Production Capacity

question 10

Multiple Choice

Which of the following is a reason why production capacity utilization began to decline around the end of World War I?

• A) Firms that had dominated their respective industries before the war maintained their positions due to lack of competition.
• B) High entry barriers prevented new companies from entering into the market place.
• C) Financial markets placed more pressure on firms to continually increase sales volume and profits.
• D) Financial markets were becoming less sophisticated.
• E) Capacity had been decreased greatly for the war.

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