Creative destruction by innovation means
a. destruction of an innovative product once it fails in the market.
b. introduction of an innovative product makes older substitute goods obsolete.
c. substitute goods make innovative goods less competitive in the market.
d. introduction of innovative goods increase the competition in the market
b
You might also like to view...
Suppose the economy is at a short-run equilibrium GDP that lies below potential GDP. Which of the following will occur because of the automatic mechanism adjusting the economy back to potential GDP?
A) Unemployment will rise. B) Prices will increase. C) Output will decrease. D) Short-run aggregate supply will shift to the right.
A movement downward and to the right along a demand curve is called a(n)
a. increase in demand. b. decrease in demand. c. decrease in quantity demanded. d. increase in quantity demanded.
Issues of the distribution of goods and services and incomes in a competitive market system are the primary topic of which fundamental question?
A. How will the system promote progress? B. Who will get the goods and services? C. How will the goods and services be produced? D. What goods and services will be produced?
If you received a free month's trial membership in a gym, you would keep going until your marginal utility reached
A. a maximum. B. zero. C. a positive number. D. a negative number.