Question 1

Which of the following statements best describes firms that successfully convince consumers that their products are somehow different?&#10;A) They have the ability to set price decreases because demand becomes more elastic.&#10;B) They have the ability to set price increases because demand becomes less elastic.&#10;C) They are able to practice price discrimination.&#10;D) They are able to maintain profits into the long run due to barriers to entry.

Accepted Answer

When firms successfully differentiate their products, they can set higher prices because consumers perceive these products as unique or superior, making demand less price elastic. This means consumers are less sensitive to price changes, allowing the firm to increase prices without losing significant sales.

Question 2

Burger King charbroils their burgers and Wendy's makes their burgers with square patties. The price of the two burgers is NOT the same. What is this an example of?&#10;A) price discrimination&#10;B) product differentiation&#10;C) barriers to entry&#10;D) patent protection

Accepted Answer

This is an example of product differentiation, where the companies distinguish their products from those of their competitors by offering unique features or characteristics. Burger King's charbroiled burgers and Wendy's square patties are distinguishing features that set their products apart from others in the market.

Question 3

What can we expect will result when a firm in a monopolistically competitive industry increases its price by a small amount?&#10;A) Their revenues will rise since differentiation makes demand inelastic.&#10;B) Other firms in the industry are unlikely to react.&#10;C) Their sales will fall dramatically since their demand curve is almost perfectly elastic.&#10;D) Other firms in the industry will likely do the same thing.

Accepted Answer

In a monopolistically competitive market, firms have some degree of market power due to product differentiation. If a firm increases its price by a small amount, it's unlikely that other firms will react significantly because each firm offers a slightly different product, and consumers' choices are not solely based on price.

Question 4

Which of the following is NOT a source of product differentiation?&#10;A) physical differences in products&#10;B) differences in service provided by firms&#10;C) differences in location of sales outlets&#10;D) differences in quantities that firms offer for sale

Accepted Answer

Differences in quantities that firms offer for sale is not a source of product differentiation as it refers to the amount of product being sold rather than any unique qualities or features of the product itself. Physical differences, differences in service, and differences in location can all be used by firms to differentiate their products from those of competitors.

Question 5

Under what circumstances will a profit-maximizing firm in a monopolistically competitive industry shutdown in the short run?&#10;A) if accounting profits are negative&#10;B) if there are no barriers to exit&#10;C) if economic losses from production exceed total fixed costs&#10;D) if economic profits are negative

Accepted Answer

In the short run, a profit-maximizing firm in a monopolistically competitive industry will shutdown if the economic losses from production exceed total fixed costs. This is because the firm is unable to cover its fixed costs, and continuing production will only lead to further losses. Negative accounting profits or economic profits may not necessarily lead to shutdown if they are still enough to cover fixed costs and some return on investment. The presence of barriers to exit may also prevent a firm from shutting down even if it is making losses.

Question 6

Which of the following is NOT a characteristic of monopolistic competition?&#10;A) many sellers&#10;B) product differentiation&#10;C) free entry&#10;D) economies of scale

Accepted Answer

Monopolistic competition is characterized by many sellers, product differentiation, and free entry. However, economies of scale are not typically present in monopolistic competition, as each firm produces at a relatively small scale, rather than taking advantage of large-scale production to reduce costs.

Question 7

Car rentals at airport kiosks are typically more expensive than car rentals in downtown areas. What is this an example of?&#10;A) higher marginal costs&#10;B) location discrimination&#10;C) price discrimination&#10;D) higher average costs

Accepted Answer

Location discrimination occurs when a seller charges different prices for the same good or service in different locations. In this case, the car rental company is charging a higher price for rentals at airport kiosks than in downtown areas. This is likely because the company knows that people who are renting cars at airport kiosks are typically in a hurry and are willing to pay a higher price for the convenience of renting a car right at the airport.

Question 8

In what way is monopolistic competition like perfect competition?&#10;A) They both lack barriers to entry.&#10;B) They both face downward-sloping demand curves.&#10;C) They both face perfectly elastic demand curves.&#10;D) They both have homogeneous products.

Accepted Answer

Both monopolistic competition and perfect competition lack barriers to entry. In perfect competition, there are no barriers to entry because there are many small firms selling identical products, whereas in monopolistic competition, there are many small firms selling differentiated products, which means that consumers have many substitutes to choose from and it is relatively easy for new firms to enter the market.

Question 9

Which of the following is a similarity between perfect competition and monopolistic competition?&#10;A) Both expect zero economic profits in the long run.&#10;B) Both experience increasing returns to scale for a significant range of output.&#10;C) Both charge a price in excess of marginal cost.&#10;D) Both have differentiated products.

Accepted Answer

In both perfect competition and monopolistic competition, firms expect to earn zero economic profits in the long run due to the entry of new firms in the market, which drives down prices to the level of average costs.

Question 10

Which of the following is a similarity between monopolistic competition and monopoly?&#10;A) Both can expect positive long-run economic profits.&#10;B) Both have perfectly elastic demand curves.&#10;C) Both charge a price in excess of marginal cost.&#10;D) Both are protected by a barrier to entry.

Accepted Answer

Both monopolistic competition and monopoly have some market power that allows them to charge a price higher than marginal cost. However, in the long run, firms in monopolistic competition can only expect to earn normal profits, while a monopoly can continue to earn economic profits. Therefore, A and D are not correct. B is also not correct because in monopolistic competition, the demand curve is downward-sloping but not perfectly elastic.

Question 11

Each firm in a monopolistically competitive industry sells a slightly differentiated product. What does this tell us about each firm's demand curve?&#10;A) It will be perfectly elastic.&#10;B) It will be perfectly inelastic.&#10;C) It will be relatively elastic.&#10;D) It will be relatively inelastic.

Accepted Answer

The answer of Each firm in a monopolistically competitive industry...

Question 12

A firm in a monopolistically competitive industry is currently producing where marginal revenue exceeds marginal cost. What does this information tell us about the firm?&#10;A) It is producing too much.&#10;B) It is operating at a loss.&#10;C) It is not maximizing profits.&#10;D) It is not minimizing costs.

Accepted Answer

The answer of A firm in a monopolistically competitive industry...

Question 13

Your local corner store charges more for a four-litre jug of milk than the local Walmart. What is this an example of?&#10;A) price discrimination&#10;B) predatory pricing&#10;C) decreasing returns to scale&#10;D) location differentiation

Accepted Answer

The answer of Your local corner store charges more for...

Question 14

Why do firms in monopolistically competitive industries have some degree of market power?&#10;A) as a result of barriers to entry&#10;B) as a result of economies of scale&#10;C) as a result of specialization and division of labour&#10;D) as a result of product differentiation

Accepted Answer

The answer of Why do firms in monopolistically competitive industries...

Question 15

What is the term for a market structure where many producers of somewhat different products compete with each other?&#10;A) monopolistic competition&#10;B) monopoly&#10;C) oligopoly&#10;D) perfect competition

Accepted Answer

The answer of What is the term for a market...

Question 16

Under what circumstances will a profit-maximizing firm in a monopolistically competitive industry shutdown in the short run?&#10;A) if total revenue is less than total variable cost&#10;B) if average revenue is less than average total cost&#10;C) if average revenue is less than average variable cost&#10;D) if marginal revenue is less than average variable cost

Accepted Answer

The answer of Under what circumstances will a profit-maximizing firm...

Question 17

How do firms in monopolistically competitive industries maximize profits?&#10;A) by producing at a level where marginal cost equals marginal revenue&#10;B) by producing at a level where average variable cost equals average revenue&#10;C) by producing at a level where average total cost equals average revenue&#10;D) by producing at a level where average variable cost equals marginal cost

Accepted Answer

The answer of How do firms in monopolistically competitive industries...

Question 18

FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated in Figure 10-1 operates in a monopolistically competitive industry. What is this firm's total revenue equal to?&#10;A) FGAB&#10;B) OFBD&#10;C) OECD&#10;D) OGAD

Accepted Answer

The answer of FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated...

Question 19

In what way is monopolistic competition like monopoly?&#10;A) They are both protected by a barrier to entry.&#10;B) They are both comprised of many sellers.&#10;C) They both have unique products.&#10;D) They are both price searchers.

Accepted Answer

The answer of In what way is monopolistic competition like...

Question 20

In what way is monopolistic competition like perfect competition?&#10;A) They both produce homogeneous products.&#10;B) They both earn positive profits in the long run.&#10;C) They both earn zero profits in the long run.&#10;D) They both produce differentiated products.

Accepted Answer

The answer of In what way is monopolistic competition like...

Question 21

Which of the following is a similarity between monopolistic competition and monopoly?&#10;A) Both produce unique products.&#10;B) Both produce at the socially optimal output level.&#10;C) Neither of them face elastic demand curves.&#10;D) Both produce at an output level that is less than the minimum average total cost.

Accepted Answer

The answer of Which of the following is a similarity...

Question 22

FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated in Figure 10-1 operates in a monopolistically competitive industry. What is this firm's total fixed cost equal to?&#10;A) FGAB&#10;B) OFBD&#10;C) OECD&#10;D) EFBC

Accepted Answer

The answer of FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated...

Question 23

When monopolistically competitive firms advertise, what are they attempting to do?&#10;A) increase demand and elasticity of demand&#10;B) capture increasing returns to scale&#10;C) increase demand and reduce elasticity of demand&#10;D) create barriers to entry

Accepted Answer

The answer of When monopolistically competitive firms advertise, what are...

Question 24

What is the deadweight loss of monopolistic competition offset, in part, by?&#10;A) research and development spending&#10;B) product differentiation&#10;C) productive efficiency&#10;D) allocative efficiency

Accepted Answer

The answer of What is the deadweight loss of monopolistic...

Question 25

FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated in Figure 10-1 operates in a monopolistically competitive industry. Which of the following best explains what happens in the long run?&#10;A) New firms enter the industry and the firm's marginal cost curve shifts up, which leads to a decrease in the firm's output.&#10;B) New firms want to enter the market but cannot since there are barriers to entry in monopolistic competition.&#10;C) The market supply curve shifts right, reducing the equilibrium market price.&#10;D) New firms enter the industry and the firm's demand curve shifts left and becomes more elastic.

Accepted Answer

The answer of FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated...

Question 26

FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated in Figure 10-2 operates in a monopolistically competitive industry. What is this firm's total profit equal to?&#10;A) OFBD - OGAD&#10;B) OGAD - OFBD&#10;C) OFBD&#10;D) FGAB

Accepted Answer

The answer of FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated...

Question 27

When does excess capacity in an industry occur?&#10;A) when quantity supplied exceeds quantity demanded&#10;B) when quantity demanded exceeds quantity supplied&#10;C) when economic profits are negative&#10;D) when production occurs to the left of minimum average total cost

Accepted Answer

The answer of When does excess capacity in an industry...

Question 28

FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated in Figure 10-2 operates in a monopolistically competitive industry. What is this firm's total cost equal to?&#10;A) OECD&#10;B) OGAD&#10;C) EGAC&#10;D) FGAB

Accepted Answer

The answer of FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated...

Question 29

FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated Figure 10-2 operates in a monopolistically competitive industry. Which of the following statements best describes this firm?&#10;A) The firm is operating at the profit maximizing price and output and is making an economic loss.&#10;B) The firm is operating at a loss and should decrease its price and increase output.&#10;C) The firm is operating at a loss and should increase its price and reduce its output.&#10;D) The firm is incurring an economic loss and should shutdown.

Accepted Answer

The answer of FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated...

Question 30

What would regulating monopolistically competitive firms to set price equal to marginal cost result in?&#10;A) firms shutting down since price would be less than AVC&#10;B) firms exiting the industry since price would be less than the long run AC&#10;C) an increase in MC as firms try to comply with the new regulations&#10;D) few firms entering the industry since price would be greater than AC

Accepted Answer

The answer of What would regulating monopolistically competitive firms to...

Question 31

FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated Figure 10-2 operates in a monopolistically competitive industry. Which of the following best explains what happens in the long run?&#10;A) New firms enter the industry, and the firm's demand curve shifts left and becomes more elastic.&#10;B) Existing firms exit the industry, and the demand curves for the remaining firms shift right, increasing prices.&#10;C) Some firms exit the industry and the firm's marginal cost curve shifts up, which leads to a decrease in the firm's output.&#10;D) The market supply curve shifts left, increasing the equilibrium market price.

Accepted Answer

The answer of FIGURE 10-2&#10;  &#10;The profit-maximizing firm illustrated...

Question 32

What is monopolistic competition characterized by?&#10;A) too few firms, each producing too much&#10;B) too many firms, each producing too much&#10;C) too few firms, each producing too little&#10;D) too many firms, each producing too little

Accepted Answer

The answer of What is monopolistic competition characterized by?&#10;A) too...

Question 33

What is the biggest difference between monopoly and monopolistic competition?&#10;A) Monopolistic competitors charge a price in excess of marginal cost.&#10;B) Monopolists can differentiate their products.&#10;C) Monopolistic competitors face a more elastic demand curve than monopolists.&#10;D) Monopoly faces a downward-sloping demand curve.

Accepted Answer

The answer of What is the biggest difference between monopoly...

Question 34

FIGURE 10-3&#10;  &#10;The profit-maximizing firm illustrated in Figure 10-3 operates in a monopolistically competitive industry. How much are total losses for this firm?&#10;A) OFBD&#10;B) EGAC&#10;C) 0&#10;D) FGAB

Accepted Answer

The answer of FIGURE 10-3&#10;  &#10;The profit-maximizing firm illustrated...

Question 35

FIGURE 10-3&#10;  &#10;The profit-maximizing firm illustrated Figure 10-3 operates in a monopolistically competitive industry. What is this firm's total revenue equal to?&#10;A) OGAD&#10;B) 0&#10;C) OFBD&#10;D) OECD

Accepted Answer

The answer of FIGURE 10-3&#10;  &#10;The profit-maximizing firm illustrated...

Question 36

In the long run, what do monopolistically competitive firms achieve?&#10;A) neither allocative or productive efficiency&#10;B) allocative, but not productive efficiency&#10;C) productive, but not allocative efficiency&#10;D) both allocative and productive efficiency

Accepted Answer

The answer of In the long run, what do monopolistically...

Question 37

What is the deadweight loss of monopolistic competition a result of?&#10;A) barriers to entry&#10;B) productive inefficiency&#10;C) inelastic product demand&#10;D) allocative inefficiency

Accepted Answer

The answer of What is the deadweight loss of monopolistic...

Question 38

FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated in Figure 10-1 operates in a monopolistically competitive industry. What is this firm's total profit equal to?&#10;A) FGAB&#10;B) OECD&#10;C) EFBC&#10;D) OFBD

Accepted Answer

The answer of FIGURE 10-1&#10;  &#10;The profit-maximizing firm illustrated...

Question 39

What will be the result of a successful advertising campaign?&#10;A) There will be an increase in the elasticity of demand.&#10;B) Quantity demanded will be less sensitive to changes in price.&#10;C) There will be an increase in average costs and a reduction in profits.&#10;D) There will be a decrease in the total fixed costs and in increase in profits.

Accepted Answer

The answer of What will be the result of a...

Question 40

What is the biggest difference between perfect competition and monopolistic competition?&#10;A) Perfect competitors can differentiate their products.&#10;B) Monopolistic competitors have some influence over price.&#10;C) Accounting costs and economic costs are the same for perfect competitors.&#10;D) Monopolistic competitors are protected by barriers to entry.

Accepted Answer

The answer of What is the biggest difference between perfect...

Question 41

What is it referred to when two firms collude to improve their profit maximizations?&#10;A) a cooperative game&#10;B) a strategic game&#10;C) an interdependent policy&#10;D) a defensive policy

Accepted Answer

The answer of What is it referred to when two...

Question 42

What does a payoff matrix illustrate?&#10;A) A tit-for-tat strategy in repeated games.&#10;B) The possible outcomes of various strategies in game theory.&#10;C) The most efficient production level in noncooperative games.&#10;D) The optimal profit maximization strategy in Nash equilibrium.

Accepted Answer

The answer of What does a payoff matrix illustrate?&#10;A) A...

Question 43

What is a similarity between oligopolists and monopolists?&#10;A) Both set price equal to marginal cost.&#10;B) Both produce a unique product.&#10;C) Economies of scale provide a barrier to entry for both.&#10;D) Allocative efficiency is achieved by both.

Accepted Answer

The answer of What is a similarity between oligopolists and...

Question 44

What is game theory?&#10;A) Firms try to maximize their profits by acting in ways to minimize damage from competitors.&#10;B) Firms attempt to capture competitors markets by developing slightly differentiated products&#10;C) Firms try to gain market shares through predatory pricing.&#10;D) Firms attempt to maximize market share through strategic advertising and product placement.

Accepted Answer

The answer of What is game theory?&#10;A) Firms try to...

Question 45

What is a difference between oligopoly and monopolistic competition?&#10;A) Oligopolists consider the actions and reactions of their competitors.&#10;B) Oligopolists only compete with monopolists.&#10;C) Monopolistic competitors act like monopolies and oligopolists don't.&#10;D) Monopolistic competitors can make long-run profits.

Accepted Answer

The answer of What is a difference between oligopoly and...

Question 46

What is the prisoner's dilemma?&#10;A) the game that demonstrates the basic problem that noncolluding oligopolists face&#10;B) a theory on how the monopolist charges prices above the market equilibrium&#10;C) the competition that can occur among firms in monopolistic competition&#10;D) a theory about why firms break the law by colluding

Accepted Answer

The answer of What is the prisoner's dilemma?&#10;A) the game...

Question 47

When economists use game theory to analyze the strategic behaviour of firms, which of the following do they take into account?&#10;A) the price-taking behaviours of oligopolists&#10;B) the allocative efficiency of their rivals&#10;C) the price-making behaviours of perfectly competitive markets&#10;D) the expected behaviours of rival firms because of the interdependence in the market

Accepted Answer

The answer of When economists use game theory to analyze...

Question 48

What is the optimal action that a player can take, regardless of their opponents actions, referred to as?&#10;A) a Nash strategy&#10;B) a payoff strategy&#10;C) a cooperative strategy&#10;D) a dominant strategy

Accepted Answer

The answer of What is the optimal action that a...

Question 49

Under what circumstances might advertising lead to a reduction in prices?&#10;A) if marginal revenue increases faster than marginal costs&#10;B) if it leads to increased awareness of substitutes and increased elasticity&#10;C) if increased production leads to lower average costs&#10;D) if it leads to increased differentiation and decreased elasticity

Accepted Answer

The answer of Under what circumstances might advertising lead to...

Question 50

What is a dominant strategy?&#10;A) the strategy that results from collusion in an industry&#10;B) the strategy that results in the best outcome for all firms in an industry&#10;C) the optimal strategy that takes into account the actions of opponents&#10;D) the strategy that is optimal regardless of the actions of other firms

Accepted Answer

The answer of What is a dominant strategy?&#10;A) the strategy...

Question 51

What will firms that allocate funds to advertising most likely experience?&#10;A) an increase in elasticity&#10;B) an increase in marginal costs&#10;C) an increase in average variable costs&#10;D) an increase in marginal revenue

Accepted Answer

The answer of What will firms that allocate funds to...

Question 52

What is a noncooperative game?&#10;A) when each firm sets its own price without consulting other firms&#10;B) when all firms set output levels that drive up market prices&#10;C) when two firms collude to improve their profit maximizations&#10;D) when each firm differentiates its product in the market through strategic advertising

Accepted Answer

The answer of What is a noncooperative game?&#10;A) when each...

Question 53

Why do oligopolists tend to change their price less frequently than perfect competitors?&#10;A) because their demand curves are inelastic&#10;B) because they often are subject to government price controls&#10;C) because they are uncertain as to how their competitors will react&#10;D) because the demand curve for their product is not as volatile

Accepted Answer

The answer of Why do oligopolists tend to change their...

Question 54

What is a tool that allows economists to analyze the strategic behaviour of firms in a market?&#10;A) network externalities&#10;B) payoff strategies&#10;C) monopolistic equilibrium&#10;D) game theory

Accepted Answer

The answer of What is a tool that allows economists...

Question 55

What do the concepts of interdependence and game theory illustrate about how firms that compete in oligopoly markets price their products?&#10;A) They set a price in the market and do not change it.&#10;B) They consider the actions of their rivals before changing the price of their products.&#10;C) They ignore the actions of their rivals when considering price changes.&#10;D) They engage in frequent price changes.

Accepted Answer

The answer of What do the concepts of interdependence and...

Question 56

What is the objective of a cartel?&#10;A) joint profit maximization&#10;B) productive efficiency&#10;C) allocative efficiency&#10;D) individual profit maximization

Accepted Answer

The answer of What is the objective of a cartel?&#10;A)...

Question 57

Under what circumstances might advertising benefit society?&#10;A) if it provides information&#10;B) if it decreases the deadweight loss from underallocation of resources&#10;C) if it increases productive efficiency&#10;D) if it increases allocative efficiency

Accepted Answer

The answer of Under what circumstances might advertising benefit society?&#10;A)...

Question 58

Under what circumstance might advertising lead to a reduction in the average cost of production?&#10;A) If there are significant increasing returns to scale in production.&#10;B) If demand was fairly elastic before the advertising.&#10;C) If marginal cost falls as a result of decreased production.&#10;D) If demand increases and there are constant returns to scale.

Accepted Answer

The answer of Under what circumstance might advertising lead to...

Question 59

What are oligopolists said to be doing when they determine price and output decisions jointly?&#10;A) corroborating&#10;B) combining&#10;C) coexisting&#10;D) colluding

Accepted Answer

The answer of What are oligopolists said to be doing...

Question 60

What is the term for an industry characterized by relatively few firms controlling most of the production and sale of a product or service?&#10;A) oligopoly&#10;B) perfect competition&#10;C) monopolistic competition&#10;D) oligarchy

Accepted Answer

The answer of What is the term for an industry...

Question 61

When does a network externality exist?&#10;A) when advertising has an impact on the number of people purchasing a good.&#10;B) when a change in the price of a good influences the quantity demanded.&#10;C) when the number of people purchasing a good impacts the supply curve&#10;D) when the number of people purchasing a good influences quantity demanded

Accepted Answer

The answer of When does a network externality exist?&#10;A) when...

Question 62

Two restaurants, in a small town, compete in the market for pizza. Each restaurant must decide whether to advertise or not. The potential monthly profits for these firms are shown below (in thousands of dollars).&#10;FIGURE 10-5&#10;  &#10;Referring to Figure 10-5, what is the Nash equilibrium?&#10;A) Restaurant A shouldn't advertise and Restaurant B should advertise.&#10;B) Restaurant A shouldn't advertise and Restaurant B shouldn't advertise.&#10;C) Restaurant A should advertise and Restaurant B should advertise.&#10;D) Restaurant A should advertise and Restaurant B shouldn't advertise.

Accepted Answer

The answer of Two restaurants, in a small town, compete...

Question 63

What is a tit-for-tat strategy?&#10;A) a strategy used in repeated games where one player follows the other players move in the previous round&#10;B) a strategy in one-shot games where two players will collude to the detriment of other firms in the industry&#10;C) a strategy in a one-shot game where self-interest prevents cooperative behaviour and leads to an inferior joint outcome&#10;D) a strategy used in repeated games where players work together to plan what moves each will make in each round

Accepted Answer

The answer of What is a tit-for-tat strategy?&#10;A) a strategy...

Question 64

Two restaurants, in a small town, compete in the market for pizza. Each restaurant must decide whether to charge a high price or a low price. The potential monthly profits for these firms are shown below (in thousands of dollars).&#10;FIGURE 10-4&#10;  &#10;Referring to Figure 10-4, what is the Nash equilibrium?&#10;A) Restaurant A charges a low price and Restaurant B charges a high price.&#10;B) Restaurant A charges a high price and Restaurant B charges a low price.&#10;C) Restaurant A charges a high price and Restaurant B charges a high price.&#10;D) Restaurant A charges a low price and Restaurant B charges a low price.

Accepted Answer

The answer of Two restaurants, in a small town, compete...

Deck 10: Monopolistic Competition and Oligopoly