Which of the Following Are Advantages of Competition

question 40

Multiple Choice

Which of the following are advantages of competition?

• A) Competition lowers costs.
• B) Competition reduces waste and inefficiency.
• C) Competition widens the choice of goods and services provided to consumers.
• D) Competition holds profits to a minimum.
• E) All of the above are advantages of competition.

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Definitions:

Diffusion

The spread of innovations, ideas, behaviors, or products from their place of origin to other cultures or societies.

Water-Soluble Material

Material that can dissolve in water, meaning it can become uniformly dispersed when mixed with water at a certain temperature.

Invention

The creation of a new product, process, or idea that did not exist before.

Technological Advance

The introduction of new technologies or the improvement of existing ones, leading to more efficient production processes or better products.