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Some People Refuse to Buy Japanese Cars Because They Believe

Question 56

Multiple Choice

Some people refuse to buy Japanese cars because they believe it is anti-American. Others refuse to buy American cars because they believe that Japanese cars are superior. In this highly competitive market, the Mitsubishi Eclipse and Eagle Talon, which have identical engines, transmissions, bodies and paint, are a good example of


A) goods belonging to two separate markets
B) complementary goods
C) perfect competition
D) product differentiation
E) barriers to entry

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