Which of the Following Is Not a Reason Why Growth

question 7

Multiple Choice

Which of the following is not a reason why growth in the supermarket sector has been consistently declining over the last decade?

• A)the increase in out-of-home eating
• B)the increase in competition from online retailers.
• C)the decrease in population
• D)the increase in competition from warehouse clubs
• E)the general rise in food costs

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Definitions:

Marginal Cost

The additional cost incurred by producing one more unit of a good or service; essential for making efficient production and pricing decisions.

Output

The amount of goods or services produced by a business, industry, or country.

Profit-Maximizing Rule

A principle that firms apply to determine the level of output at which they will realize the maximum possible profits.

Short-Run Monopoly

A scenario where a single supplier dominates the market for a brief period, often due to patents, resources, or technology.