Which of the following is an argument in favor of judging competitiveness by performance rather than structure?
A) Judgment by performance requires that each action of a firm be analyzed on a case-by-case basis, which is very time-consuming and expensive.
B) Under the judgment by structure criterion, a firm may be breaking the law if it does what it's supposed to be doing: producing the best product it can at the lowest cost.
C) Courts know little economic theory.
D) Structure can be a predictor of future performance.

Question

Quizplus · Accepted Answer

Judging competitiveness by performance rather than structure allows firms to focus on producing the best products at the lowest costs without being penalized for having a dominant market position, which might be misconstrued as anti-competitive under a structural judgment.

Which of the Following Is an Argument in Favor of Judging