Which Statement Is True

question 266

Multiple Choice

Which statement is true?

• A)The perfect competitor sets her price.
• B)Perfect competitors sell below market price to attract new customers.
• C)In the long run the perfect competitor produces at an output at which ATC is falling.
• D)The perfect competitor makes zero economic profit in the long run.

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.