What is the purpose of competition?
a. to act as a regulating force in the marketplace
b. to cause producers to attempt to put each other out of business
c. to cause buyers to have to be careful about spending their money
d. to act as a motivating force behind the free market
Ans: to act as a regulating force in the marketplace.
You might also like to view...
To satisfy the admission criteria to the European Union, a country must meet all of the following, EXCEPT:
A) maintain an inflation that is equal to the average of the three lowest rates. B) maintain long-term interest rates equal to that of the three countries with the lowest inflation rates. C) maintain a pegged exchange rate, without any revision for two years. D) cut down taxes to the lowest possible level.
When the coupon rate on newly issued bonds increases from 5 percent to 6 percent, the prices of existing bonds:
A. increase. B. decrease. C. increase only if the coupon rate is less than 6 percent. D. remain unchanged.