Which of the Following Statements Is True

question 79

Multiple Choice

Which of the following statements is true?

• A) In a competitive market, the invisible hand encourages the movement of resources from more productive uses to less productive uses.
• B) In a competitive market, firms in the long run tend to earn positive economic profits.
• C) Competitive equilibrium provides incentives for entrepreneurs to shift their resources from unprofitable industries to profitable ones.
• D) At the competitive equilibrium, production occurs at the point of maximum average total cost.

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Definitions:

Anglo-Americans

Originally, English-speaking inhabitants of the Americas, particularly those of British or American birth or descent, now more broadly refers to English-speaking North Americans.

Major Victories

Significant or decisive wins in a battle, conflict, or competition that impact the overall outcome or change the course of the situation.

Indian Diplomacy

The strategies, negotiations, and interactions employed by Native American tribes in their relations with European settlers, other tribes, and later, the United States government.

British Invasion

A cultural phenomenon of the mid-1960s when music bands from the United Kingdom, particularly the Beatles, became immensely popular in the United States.