All but One of the Following Have Been Suggested by Some

question 229

Multiple Choice

All but one of the following have been suggested by some economists as possible consequences of path dependency and switching costs.Which of the following is not a possible consequence of path dependency and switching costs?

• A)Consumers may get locked into using products with inferior technology.
• B)Market failure
• C)Diseconomies of scale
• D)Government intervention may be necessary in affected markets in order to improve economic efficiency.

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Definitions:

Activity Variances

Differences between the budgeted amounts and the actual costs incurred for various activities within a company, used for management analysis and control.

Meals

The food and drink consumed as part of one's diet.

Spending Variances

The difference between the actual amount spent and the budgeted amount for a specific period, which can indicate areas where financial performance did not meet expectations.

Containers Refurbished

The process of cleaning, repairing, and possibly upgrading containers to a good condition for reuse or resale.