In a free market economy, firms operating in a perfectly competitive industry are said to have only one major choice to make. Which of the following correctly sets out that choice?
A. what quantity to produce
B. what price to charge
C. what quantity of labor is needed
D. what quality to produce
Answer:A
In a free market economy, firms operating in a perfectly competitive industry are said to have only one major choice to make. Which of the following correctly sets out that choice?
A. what quantity to produce B. what price to charge C. what quantity of labor is needed D. what quality to produce
Explanation: 26. I’maSolarPanelCo. manufactures and distributes solar panels in the US market. Two years ago, it had 5 US competitors, but government stimulus in the industry has encouraged 7 new US competitors to enter the market. In these circumstances, I’maSolarPanelCo.’s price for its output