Suppose That a Firm Successfully Introduces a Highly Profitable New

question 106

Multiple Choice

Suppose that a firm successfully introduces a highly profitable new product. If this new product offers less marginal utility per unit to consumers than existing substitute products, then the

• A) laws of economics have been violated.
• B) new product must have increasing, not diminishing, marginal utility.
• C) existing products were being produced at a loss.
• D) new product has a lower price than the existing substitute products.

---

Definitions:

Slide Sorter View

A view in PowerPoint that displays thumbnail versions of slides, allowing users to easily sort and organize their presentation.

Laser Pointer

A pen-sized device that emits a laser beam used to point at objects or locations on a screen or in a presentation.

Highlighter

A marker pen that is used to attract attention to sections of text by marking them with a vivid, translucent color.

Voice Narrations

Recorded audio commentary or storytelling, added to multimedia presentations, videos, or other digital content to enhance user experience.