One reason why critics argue that large firms should not be broken up is that in some cases

a. large firms have a concentration of economic power.
b. large firms are less-efficient producers.
c. many smaller firms would be less-efficient producers.
d. there is no economic reason to break up large firms that may have some control over the market.

c

Economics

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What is the relationship between the income effect and the substitution effect for a normal good and what is it for an inferior good?

What will be an ideal response?

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If the price level falls as real GDP decreases, the multiplier effects of any given change in aggregate expenditures are smaller than they would be if the price level remained constant

a. True b. False Indicate whether the statement is true or false

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