In the long run in monopolistic competition, a firm will not produce the output level that minimizes average cost because
A)that output level is less than the profit-maximizing one
B)at that output level, MC is greater than MR
C)at that output level, P is greater than MR
D)demand is horizontal
E)that would leave the firm with excess capacity

Question

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The Answer of In the long run in monopolistic competition, a firm will not produce the output level that minimizes average cost because
A)that output level is less than the profit-maximizing one
B)at that output level, MC is greater than MR
C)at that output level, P is greater than MR
D)demand is horizontal
E)that would leave the firm with excess capacity

In the Long Run in Monopolistic Competition, a Firm Will