Both monopolists and monopolistic competitors:
A)make positive economic profits in the long run.
B)have high barriers to entry.
C)charge a price that is greater than the marginal cost of production.
D)produce a product for which there are no substitutes.

Question

Quizplus · Accepted Answer

Both monopolists and monopolistic competitors charge a price that is greater than the marginal cost of production. This is because they have market power and can control the price to some extent. However, they may not always make positive economic profits in the long run, and there may be varying degrees of barriers to entry and substitute products depending on the specific industry and market conditions.

Both Monopolists and Monopolistic Competitors