Resources Are a Source of Competitive Advantage When They

question 116

Multiple Choice

Resources are a source of competitive advantage when they

• A)are difficulty to imitate.
• B)are well organized.
• C)are rare.
• D)create customer value.
• E)are any or all of the above.

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Definitions:

Unemployment Insurance

A government program that partially protects workers’ incomes when they become unemployed.

Multiplier

The factor by which an initial change in spending will alter total economic output, usually in the context of fiscal or monetary policy.

MPC

Marginal Propensity to Consume, which is the proportion of additional income that a consumer spends on goods and services as opposed to saving it.

Capital Goods

Long-term assets such as buildings, machinery, and equipment used in the production of goods and services.