In the Long Run, a Tax Placed on a Perfectly

question 40

Multiple Choice

In the long run, a tax placed on a perfectly competitive industry should

• A)increase the number of firms.
• B)decrease the number of firms.
• C)not affect the number of firms.
• D)One cannot tell

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Definitions:

Motivations

The reasons or driving forces behind individuals' actions or behaviors, which can stem from internal desires or external influences.

Preferences

Individuals' tendencies to favor certain options, choices, or experiences over others, based on personal tastes or values.

Big Five

A model describing human personality through five broad dimensions: openness, conscientiousness, extraversion, agreeableness, and neuroticism.

Personality Factors

Key traits or characteristics that constitute an individual's distinct personality, influencing behavior and attitudes.