When a High Fixed Cost of Production Exists, Markets Are

question 147

Multiple Choice

When a high fixed cost of production exists, markets are:

• A) less likely to be monopolized.
• B) more likely to be monopolized.
• C) never monopolized.
• D) always monopolized.

---

Definitions:

Capital Intensive

A term used to describe businesses or industries that require substantial amounts of capital investment in machinery, equipment, or other physical assets to produce goods or services.

GDP Per Capita

The gross domestic product divided by the population, serving as an indicator of a country's economic performance and standard of living.