<span>The fact that in this market scenario the suppliers can only achieve competitive parity and not a competitive advantage means that </span><span>the coffee bean industry in Matterstein best illustrates </span>perfectly competitive structure. In this type of market structure the product is homogenous, coffee is homogenous. There are many firms and there is freedom to enter and exit the market.
Answer:
It is capital deepening (D)
Explanation:
Capital deepening typically represents an increase in the capital-labor ratio. This arises when there is infusion of additional capital(e.g technological improvement) into the production processes while work force is either kept constant or cut-down and thereby makes labor to be more productive.
Hence, as the capital-labor ratio increases, the marginal product of labor, i.e. the amount of product that can be produced by supplying one more unit of labor, increases because there are now more units of capital per worker.
I think the answer is Party
Answer:
False
Explanation:
When supply of loanable funds increases, the borrowers have more sources of availing loans. Such a situation leads to a competition among suppliers of loanable funds.
Thus, to attract borrowers, suppliers have to lower the rate of interest on loans.
Thus, Borrowers will not bid up the interest rate in such a scenario and would rather bid down the interest rate.
