Which of the Following Is Characteristic of a Perfectly Competitive

question 21

Multiple Choice

Which of the following is characteristic of a perfectly competitive market?

• A)A small number of firms.
• B)Exit of small firms when profits are high for large firms.
• C)Zero economic profit in the long run.
• D)Marginal revenue lower than price for each firm.

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Definitions:

Biological Perspective

An approach in psychology focused on understanding human and animal behavior through biological processes and structures.

Generalized Anxiety Disorder

A chronic psychological disorder characterized by excessive worry and anxiety about a variety of events or activities.

Amygdala

A region of the brain involved in experiencing emotions, particularly fear and pleasure.

Affect

In psychology, a term indicating “emotion” or “mood.”