Asked by
KyIra Porch
on Dec 10, 2024Verified
When profits occur in a competitive market, this indicates that
A) consumers value the goods more than the resources used to produce them.
B) producers value the goods more than the resources used to produce them.
C) producers value the goods more than consumers value the goods.
D) consumers value the goods less than the resources used to produce them.
Competitive Market
A market structure characterized by a large number of sellers and buyers, where no single entity can influence the market price.
Economic Profits
A recalculated measure of return on investment that includes both visible and hidden costs, indicating real profitability over and above all expenses.
Goods Value
Goods value represents the importance, worth, or usefulness of a product or service to buyers, often determined by its price, quality, and utility.
- Perceive the importance of economic profits and losses in guiding resource allocation and market signals.
Verified Answer
CL
Learning Objectives
- Perceive the importance of economic profits and losses in guiding resource allocation and market signals.