All Else Being Constant, When Firms Leave a Competitive Market

question 62

Multiple Choice

All else being constant, when firms leave a competitive market, then

• A)market supply decreases and market price rises.
• B)both market demand and market supply decrease.
• C)market supply decreases and market price falls.
• D)market demand decreases and market price falls.
• E)market demand increases and market price rises.

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Definitions:

Behavioral Changes

Alterations in an individual's actions and reactions due to internal or external factors.

Peer-Reviewed Journals

Academic journals that require articles to be reviewed by experts in the field before they are published, to ensure the material is of high quality and credibility.

Scientific Evidence

Information that has been systematically collected and analyzed according to scientific methods to support or refute a hypothesis, theory, or scientific inquiry.

Nature/Nurture Debate

The ongoing discussion concerning the relative importance of an individual's innate qualities (nature) versus personal experiences (nurture) in determining or causing physical and behavioral traits.