When Firms Exit a Perfectly Competitive Industry, the Market Supply

question 217

True/False

When firms exit a perfectly competitive industry, the market supply curve shifts to the left.

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Definitions:

Classical Conditioning

A teaching method that employs the repetitive pairing of two stimuli; over time, the response initially caused by the second stimulus becomes caused by the first stimulus alone.

CS

An abbreviation that can stand for "Conditioning Stimulus" in behavioral psychology, relating to the process by which a neutral stimulus becomes associated with a reflexive response.

Extinction

In the field of psychology, the slow reduction and final fading of a learned response occurs when the conditioned stimulus isn't combined with the unconditioned stimulus anymore.

Pavlov

Refers to Ivan Pavlov, a Russian physiologist known for his work on classical conditioning, particularly involving the conditioned response of dogs to stimuli.