Answer:
B) government spending and taxes that automatically increase or decrease along with the business cycle.
Explanation:
The two most common automatic stabilizers are: income taxes and unemployment benefits.
When the economy is strong, people make more money, and income tax revenue automatically increases.
On the contrary, when the economy is weak, or in recession, people earn less, and more of them are unemployed. Unemployment benefits therefore increase accordingly.
Answer:
d. a monopoly firm reducing its price in an attempt to maintain its monopoly.
Explanation:
In a competitive system, a firm practices predatory pricing when it charges prices below its costs in order to eliminate competitors. When the prevailing system is a monopoly, the firm is the only company providing the good and it can practice predatory pricing in the short term to prevent a competitor from entering the market. Thus the firm remains monopolistic.
The correct answer is B.) The problem of scarcity does not exist.
Because since it is a 'perfectly competitive' market then scarcity shouldnt exist.
-Autumn Leaves
Answer: Option a
Explanation: Diversification in finance is the method of distributing resources in a manner that decreases the vulnerability to any particular commodity or risk.
A common way to diversify is by investing in a range of investments to minimize risk or uncertainty.
If asset values adjust in complete synchronization, a diverse portfolio will have less variation than its constituent assets ' weighted average variance, and often less variation than its constituents least volatile.
CFCs already in the atmosphere will last for many more years.
