The Effect of Planning on Managers Is That It Forces

question 41

Multiple Choice

The effect of planning on managers is that it forces them to ________.

• A) generate higher profits
• B) anticipate and respond to change
• C) eliminate uncertainty
• D) work at cross purposes

Understand the concept of opportunity cost and how it applies to economic decisions.

Analyze the impact of consumer behavior on economic outcomes.

Apply the production possibilities curve to analyze choices and trade-offs.

Explain the role of collective decision making in economic systems.

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Definitions:

Perfect Competitor

A firm in a perfectly competitive market where it is a price taker and has no control over the market price of its product.

Imperfect Competitor

A firm or entity that has some control over the market price of its product because it does not operate in a perfectly competitive market.

Perfect Competitor

A theoretical market structure where many firms offer identical products, firms are price takers, and there are no barriers to new firms entering the market.

Imperfect Competitor

A market participant who does not follow the norms of perfect competition, possibly due to having some control over prices or market share.