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-When the Monopolistically Competitive Firm Shown in the Above Figure

Question 214

Multiple Choice

  -When the monopolistically competitive firm shown in the above figure is at its long-run equilibrium, it will be A)  producing the efficient scale of output and is at point A on the ATC curve. B)  producing more than the efficient scale of output and is at point C on the ATC curve. C)  producing at less than the efficient scale of output and is at a point such as F on the ATC curve. D)  producing the efficient scale of output and is at point B on the MC curve.
-When the monopolistically competitive firm shown in the above figure is at its long-run equilibrium, it will be


A) producing the efficient scale of output and is at point A on the ATC curve.
B) producing more than the efficient scale of output and is at point C on the ATC curve.
C) producing at less than the efficient scale of output and is at a point such as F on the ATC curve.
D) producing the efficient scale of output and is at point B on the MC curve.

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