A Network Effect Arises Whenever

question 184

Multiple Choice

A network effect arises whenever

• A) firms in an oligopolistic industry engage in limit pricing.
• B) firms in an oligopolistic industry engage in a zero-sum game.
• C) a consumer's willingness to purchase a good or service is influenced by how many others also buy or have bought the item.
• D) a producer's willingness to produce a good or service is influenced by how many other firms also produce or have produced the item.

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Definitions:

Vascular Tissue

The system of tubes in plants that conducts water, minerals, and nutrients.

Phloem

In plants, the network of tissues responsible for carrying sugars and metabolic outputs from the leaves to the lower parts.

Tunicate

Invertebrate chordate that loses most of its defining chordate traits during the transition to adulthood.

Tunic

A layer or covering, often referred to in biology as the outer, fibrous covering of organisms such as tunicates or the covering around certain seeds.