There is some evidence to suggest that X-inefficiency is:
A. absent whenever two or more producers are competing with one another.
B. not encountered in either competitive or monopolistic firms.
C. more likely to occur in monopolistic firms than in competitive firms.
D. more likely to occur in competitive firms than in monopolistic firms.
Answer: C
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Briefly explain how growth in real GDP differs across economies including the United States, Japan, Africa, Central America, Hong Kong, Korea, and Singapore
What will be an ideal response?
In recent decades, the United States
A) was essentially a closed economy. B) was generally a net borrower of foreign funds. C) was generally a net lender abroad. D) experienced a net outflow of savings.
Assume a government likes a particular equilibrium along the contract curve. It can achieve that equilibrium through competition and income redistribution
What will be an ideal response?
The law of comparative advantage indicates that
a. specialization and exchange will permit trading partners to maximize their joint output. b. a nation can gain from trade only if it is not at an absolute disadvantage in producing all goods. c. a nation can gain from trade only when its trading partners are not low-wage countries. d. countries should export products for which they are high-opportunity cost producers.