One of the Drawbacks of Free Markets Is the Fact

question 124

True/False

One of the drawbacks of free markets is the fact that competition in such markets undermines the ability of price to adjust to its equilibrium value in the long run.
Level of Learning 1: Knowledge of key terms

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Definitions:

Limitation

A restriction or boundary that defines the scope or extent of something, often highlighting a weakness or drawback.

Reservation

The act of holding or booking a place, item, or service for future use, or a doubt or objection raised regarding a particular point or proposal.

Delimitation

The process of establishing boundaries or limits, often used in research to define the scope of a study.

Inductive Organization

A method of structuring information that starts with specific instances or evidence and builds toward a general conclusion.