Monopolistic competitors do not enjoy the ________ demand of perfect competition.As a result,firms will never produce at ________ average total cost.

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Monopolistic competitors face a downward-sloping demand curve, which is less elastic than the perfectly elastic demand curve of perfect competition. This means they cannot sell all they want at the market price. As a result, they are unlikely to produce where average total cost is minimized, unlike firms in perfect competition.

Monopolistic Competitors Do Not Enjoy the ________ Demand of Perfect