Which Is the Most Accurate Statement

question 132

Multiple Choice

Which is the most accurate statement?

• A)Our trade problems with China are very similar to our trade problems with Japan.
• B)Our trade deficit with China in the 1990s grew much faster than our trade deficit with Japan.
• C)We import most of our oil from Japan and China.
• D)Japan is the dominant trading partner with the U.S.

---

Definitions:

Competing Producers

Entities or companies that are in the same market striving to gain market share by offering better products, price, or services.

Perfect Competition

A market structure characterized by a large number of small firms, identical products, and freedom of entry and exit, leading to price takers.

Barriers To Entry

Economic, procedural, or regulatory obstacles that prevent or deter new competitors from easily entering an industry or area of business.

Absolute Market Power

The ability of a single economic actor, or a group of actors, to control market prices, output, and/or the market entry of new competitors without external interference.