Figure 8.4
-Figure 8.4 depicts demand and costs for a monopolistically competitive firm. If the firm's demand curve shifts to the left as more firms enter the market
A) the firm's profit will be smaller at the new profit maximizing output level.
B) the firm's profit will be greater at the new profit maximizing output level.
C) the firm's profit will remain the same at the new profit maximizing output level.
D) There is not sufficient information.
Correct Answer:
Verified
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