Excess Capacity Typically Occurs

question 24

Multiple Choice

Excess capacity typically occurs

• A)in the short run in perfect competition
• B)in the short run in monopolistic competition
• C)in long-run equilibrium in perfect competition
• D)in long-run equilibrium in monopolistic competition
• E)usually in markets experiencing an increase in demand

---

Definitions:

Motives

Internal processes that energize, direct, and sustain behavior towards fulfilling a need or achieving a goal.

Needs

Something that is necessary to survive or thrive.

Need

A requirement essential for an organism's survival, growth, or well-being.

Physiological Needs

Basic physical requirements including air, water, food, shelter, and sleep, necessary for human survival.