In a Perfectly Competitive Industry, Any Restrictions That Prevent New

question 66

Multiple Choice

In a perfectly competitive industry, any restrictions that prevent new firms from entering

• A) lead to negative profits.
• B) guarantee that all existing firms will earn exactly a zero profit.
• C) hinder economic efficiency.
• D) reduce the average cost of production.

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Definitions:

Functional Magnetic Resonance Imaging (fMRI)

A neuroimaging technique that measures and maps brain activity by detecting changes associated with blood flow, used in research and clinical applications.

Frontal Cortex

The front part of the cortex of the brain. Divided left and right into the two frontal lobes, this part of the brain is associated with cognitive functioning such as planning, foresight, and understanding.

Substantia Nigra

A brain area critical to movement and reward; loss of neurons here is associated with Parkinson's disease.