Practice Exam Questions
Contestable Markets and Output (MCQ Revision Question)
- Level:
- A-Level, IB
- Board:
- AQA, Edexcel, OCR, IB, Eduqas, WJEC
Last updated 2 Jun 2017
In a contestable market, if the threat of potential entry causes a business to drop profit maximisation as the main aim and choose instead an output that makes a normal profit, what is the consequence for total output? This multiple choice question tests our understanding of this topic.
You might also like
Business Growth: Lidl's UK Profits Quadruple
17th November 2022
Contestable Markets - EU Digital Markets Act
1st November 2022
Contestable Markets - Amazon launches Amazon Insurance Store
19th October 2022
Contestable Markets - Where now for UK grocers as Aldi overtakes Morrisons?
18th September 2022
Web browser market share - a changing structure
10th August 2022