Firms That Operate in Competitive Product Markets and Choose to Practice

question 406

Multiple Choice

Firms that operate in competitive product markets and choose to practice discrimination in hiring workers

• A)will survive if they increase production and garner a larger market share.
• B)will eventually earn zero economic profits.
• C)will survive as long as they are willing to have a smaller market share.
• D)are likely to eventually go out of business.

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Definitions:

Negative Reinforcement

A concept in behavioral psychology where the removal of an unfavorable outcome or stimulus strengthens the behavior that led to its removal.

Positive Reinforcement

A strategy in behavior modification that involves the addition of a rewarding stimulus following a desired behavior, with the aim of increasing that behavior.

Punishment

The imposition of a penalty or sanction on an individual or entity for violating rules, norms, or expectations.

Unpleasant Event

An occurrence that causes discomfort or distress to individuals involved.