When Demand Increases,in the Short Run the Purely Competitive Firm

question 64

Multiple Choice

When demand increases,in the short run the purely competitive firm:

• A) will spend more on advertising.
• B) will earn higher profits or experience smaller losses.
• C) will experience no change in costs as it steps up production.
• D) can alter available inputs and output as well as the size of the plant.

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Definitions:

Realistic Period

The third stage of Ginzberg’s theory, which occurs in early adulthood, when people begin to explore specific career options, then narrow their choices and make a commitment.

Fantasy Period

According to Ginzberg, the period, lasting until about age 11, when career choices are made, and discarded, without regard to skills, abilities, or available job opportunities.

Social Clock

The culturally determined psychological timepiece providing a sense of whether we have reached the major benchmarks of life at the appropriate time in comparison to our peers.

Maturation

The predetermined unfolding of genetic information.