An Increase in the Demand for a Product and a Reduction

question 87

Multiple Choice

An increase in the demand for a product and a reduction in its costs of production would:

• A) Decrease the profits of producers
• B) Encourage firms to leave an industry
• C) Encourage firms to enter an industry
• D) Cause a shortage of the product

---

Definitions:

Ethical Dilemmas

Situations where one must choose between competing moral principles or values.

Harvard Business Review

A prestigious management magazine that publishes articles on a wide range of topics in business strategy, operations, finance, and management leadership.

Superiors

Individuals in a higher position or level of authority within an organization, having responsibility over subordinates.

Unethical Activities

Actions conducted by individuals or organizations that violate moral or professional principles.