The Market for Microcomputers (PCs)is Fairly Competitive and the Products

question 41

Multiple Choice

The market for microcomputers (PCs) is fairly competitive and the products are somewhat homogeneous.Over time,new firms have entered the market to make profit on new configurations of the microcomputer,and profits

• A)have risen dramatically.
• B)have stayed the same for most firms.
• C)have become razor thin for many producers.
• D)have not influenced the decisions of the firms

---

Definitions:

Legal Structure

The organization of a business as determined by its legal status, such as a sole proprietorship, partnership, corporation, or LLC.

Property Income

Property income refers to earnings one receives from property investments, including rents, dividends, and interest.

Politically Directed Spending

Government expenditure that is determined more by political considerations than by economic efficiency or need.

Rent-seeking Activity

Efforts by individuals or entities to increase their share of existing wealth without creating new wealth, often through manipulation or exploitation of resources.