You Notice That the Price of Butter Falls and Then

question 133

Multiple Choice

You notice that the price of butter falls and then rises. The best explanation for this is that

• A) demand for butter increased causing price to fall, which attracted other firms to enter the market causing supply to increase, which caused the price to go back up.
• B) demand for butter decreased causing price to fall, which attracted other firms to enter the market causing supply to increase, which caused the price to go back up.
• C) demand for butter decreased causing price to fall, which induced other firms to exit the market causing supply to decrease, which caused the price to go back up.
• D) demand for butter decreased causing price to fall, which attracted other firms to enter the market causing supply to decrease, which caused the price to go back up.

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Definitions:

Internal Integration

The process of ensuring different parts of an organization or group work together effectively and cohesively.

External Adaptation

The process by which an organization or individual adjusts and responds to changes in the external environment.

Organizational Language

The specific collection of terms, jargon, and communication styles unique to a particular organization.

Environmental Diversification

The strategy of spreading out investments or activities across different environmental sectors to reduce risk or achieve sustainability.