When Firms Have an Incentive to Exit a Competitive Market,their

question 49

Multiple Choice

When firms have an incentive to exit a competitive market,their exit will

• A)lower market price.
• B)necessarily raise the costs of firms that remain in the market.
• C)raise profits for firms that remain in the market.
• D)reduce demand for the product.

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Definitions:

Extra Mile

Going beyond what is required or expected in order to achieve excellence or demonstrate commitment.

Free Services

Services offered without charge to the recipient, often as part of a promotional, charitable, or business model.

Internal Customer

Employees or departments within an organization that rely on the support or services of another part of the organization to do their job effectively.

Emotional Trap

A situation where one's feelings hinder rational decision-making or lead to a negative outcome.