Which of the following statements describes a major difference between monopoly and perfect competition?
A) Perfectly competitive firms cannot maintain positive economic profits in the long run,whereas monopolists can.
B) Monopolistic firms tend to maximize revenue while perfectly competitive firms maximize profit.
C) Monopolists do not consider consumer demand when choosing price and output levels.
D) Perfectly competitive firms can never earn economic profits; monopolistic firms always earn economic profits.
E) Monopolistic firms emphasize cost minimization whereas perfectly competitive firms emphasize profit maximization.
Correct Answer:
Verified
Q9: Q13: Q80: A likely cause of a natural monopoly Q82: A cartel can only succeed in the Q83: FIGURE 10- 4 Suppose a monopolist faces Q86: The demand curve facing a single- price Q87: Consider the following AR and MR curves Q88: TABLE 10- 2 Your food- services Q89: TABLE 10- 2 Your food- services Q90: TABLE 10- 1 ![]()
![]()
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents