Which Characteristic of Competitive Markets Is Mainly Responsible for Firms

question 148

Multiple Choice

Which characteristic of competitive markets is mainly responsible for firms making zero economic profits in the long run?

• A) many buyers
• B) many sellers
• C) similar goods
• D) differentiated goods
• E) easy entry into and exit from the market

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Definitions:

Fear of Death

An existential or psychological fear of coming to an end or ceasing to be, often associated with anxiety regarding the unknown aspects of death.

Acculturation

The process of cultural change and psychological change that results following meeting between cultures.

Biculturalism

The existence or the ability to navigate and integrate two distinct cultures within an individual's lifestyle.

Ethnocentrism

The belief in the inherent superiority of one's own ethnic group or culture, often accompanied by a disregard for other cultures.