In the Real World

question 206

Multiple Choice

In the real world,

• A)all sellers charge one price equal to the marginal cost of production.
• B)profitable sellers will set one price based on the average elasticity of demand of buyers.
• C)many firms charge different prices based on consumers' willingness to pay.
• D)all sellers charge one price set by the government.

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Definitions:

Decentralization

The distribution of administrative powers or functions across various levels and departments within an organization, promoting autonomy and flexibility.

Wider Spans Of Control

A management principle whereby a manager supervises a larger number of subordinates, which can lead to more autonomy but also requires more efficient communication.

Effective Delegation

The skill of assigning tasks and authority to subordinates in a way that maximizes efficiency, development, and empowerment.

Empowerment Of Workers

The practice of giving employees more autonomy, authority, and control over their work and decision-making processes, fostering job satisfaction and productivity.