If a New Entrant (Or an Established Firm) Wants to Leave

question 81

Multiple Choice

If a new entrant (or an established firm) wants to leave a contestable market,

• A) all, or nearly all of, the invested capital values can be recovered.
• B) another firm will always enter to take its place.
• C) it must accept large losses in its capital investment, so it is unlikely to exit.
• D) its leaving will be contested by regulators in the market who seek to prevent exit.

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Definitions:

Vulnerable

A state of being open to harm, danger, or emotional hurt, often due to lack of protection or support.

Child Sexual Abuse

Any form of sexual activity with a minor by an adult or significantly older minor, considered unethical and illegal.

Disabilities

Physical or mental conditions that limit a person's movements, senses, or activities.

Child Sexual Abuse

A form of child abuse involving sexual activity with a minor, often perpetrated by someone in a position of power or trust over the child.