-Refer to the Information Above to Answer This Question

question 123

Multiple Choice

-Refer to the information above to answer this question.Which of the following statements is correct?

• A)This firm is hiring labour in a perfectly competitive market and selling its product in an imperfectly competitive market.
• B)This firm is both hiring its labour and selling its product in perfectly competitive markets.
• C)This firm is hiring its labour in a perfectly competitive market but no comment is possible about the market conditions under which it is selling its product.
• D)This firm is selling its product in a perfectly competitive market but no comment can be made about the market conditions under which it is hiring its labour.

---

Definitions:

British Pound

The official currency of the United Kingdom, also known as GBP or Sterling.

Exchange-rate Systems

These are frameworks established by countries to govern how their currencies exchange with one another, including floating, fixed, and pegged exchange rates.

Flexible-rate

A type of exchange rate regime where the value of a currency is allowed to fluctuate according to the foreign exchange market forces of supply and demand.

Fixed-rate

An interest rate that remains constant over the life of a loan or investment.