Card 80 / 100: Explain: "Entrepreneurs do not respond to particular prices but rather to the difference between certain prices."
Answer:
Most entrepreneurs are not out to maximize revenues, but rather to earn profits. Monetary profit is the difference between the revenues from customers and the expenditures on inputs. Just because a particular price is very high doesn't automatically mean that entrepreneurs rush to produce the item in question; the expenses involved in producing the item might be really high too.
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