To Have Competition as Economists Define It

question 197

Multiple Choice

To have competition as economists define it,

• A)you need many firms in an industry,with no one firm having any influence over price.
• B)you need a couple of firms in the industry,with each having significant influence over the price.
• C)you need many firms in an industry,and it doesn't matter if one firm has influence over price.
• D)All of these statements are true.

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Definitions:

Withholding Allowances

Deductions allowed on a paycheck, used to be calculated to reduce the amount of income tax withheld from an employee's salary.

FUTA Taxes

Federal Unemployment Tax Act taxes, which are payroll taxes paid by employers to fund the unemployment insurance system.

Liability

A company’s or individual’s legal financial debts or obligations that arise during the course of business operations.

Percentage Method

An IRS method for calculating the amount of taxes to withhold from an employee's paycheck based on income brackets.