Industries in Which Firms Have High Fixed Costs and Low

question 92

Multiple Choice

Industries in which firms have high fixed costs and low marginal costs are likely to have a:

• A)large number of small firms.
• B)small number of large firms.
• C)large number of large firms.
• D)small number of small firms.

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Definitions:

Negative Reinforcer

An aversive event or condition that is removed following a desired behavior, thereby increasing the likelihood of that behavior being repeated.

Aversive Event

An unpleasant or harmful event or experience that can induce behavioral changes or psychological stress.

Escape Response

A behavior aimed at moving away from or avoiding a threatening or unpleasant stimulus.

Kaizen

A Japanese term meaning "change for better" or continuous improvement, it is a process of ongoing, incremental improvements in efficiency, productivity, or quality.