Which of the Following Statements Is True About Competition in a Market

question 142

Multiple Choice

Which of the following statements is true about competition in a market?

• A)Competition forces firms to outsource the production of their labour-intensive products.
• B)Competition forces firms to undercut their selling price, thus benefiting consumers who will be able to purchase products at the lowest price possible.
• C)Competition forces firms to produce and sell products as long as the marginal benefit to consumers exceeds the marginal cost of production.
• D)Competition forces firms to add only low profit margins to their costs of production.

---

Definitions:

Structural Functionalism

An approach in sociology and anthropology which interprets society as a structure with interconnected parts designed to maintain its stability and functionality.

Conflict Perspective

A theory in sociology that views social life as a competition and conflict between groups for resources and power.

Biological Body

The physical and biological aspects of an organism, encompassing its physical structures and physiological systems.

Interconnected Characteristics

This refers to the aspects or attributes of something that are linked or related in such a way that they influence or affect each other.