Refer to the information provided.Competition in the market for haircuts is consistent with which of the following statements?
A)firms hiring non-bald barbers will have a cost advantage, leading to an increase in the demand for non-bald barbers
B)firms that hire only bald barbers will eventually all go out of business
C)all firms must eventually end up with some bald and some non-bald barbers
D)firms hiring bald barbers will enter the market, increasing the demand for bald barbers

Question

Quizplus · Accepted Answer

The statement about firms hiring bald barbers entering the market and increasing the demand for bald barbers does not inherently conflict with the principles of market competition. It suggests a scenario where market dynamics could lead to diverse hiring practices based on consumer preferences or branding strategies, without implying any inevitable outcome regarding the success or composition of firms in the market.

Refer to the Information Provided