Solved

One Difference Between Perfect Competition and Monopolistic Competition Is That

Question 112

Multiple Choice

One difference between perfect competition and monopolistic competition is that


A) in perfect competition, firms cannot earn a long-run economic profit
B) in perfect competition, firms take full advantage of economies of scale in long-run equilibrium; in monopolistic competition, firms do not
C) only under perfect competition is there ease of entry and exit
D) in monopolistic competition, the firm's demand curve is horizontal; in perfect competition, the firm's demand curve slopes downward
E) in perfect competition, there are many firms; under monopolistic competition, there are few firms

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents