Use the following to answer question 133:
Figure: Monopolistic Competition IV
-(Figure: Monopolistic Competition IV)Use Figure: Monopolistic Competition IV.The firm in the figure is producing at the output level that maximizes profits (minimizes losses).The shaded rectangle represents the firm's:

Question

Use the following to answer question 133:
Figure: Monopolistic Competition IV 
-(Figure: Monopolistic Competition IV)Use Figure: Monopolistic Competition IV.The firm in the figure is producing at the output level that maximizes profits (minimizes losses).The shaded rectangle represents the firm's:

Quizplus · Accepted Answer

The shaded rectangle represents the firm's economic profit, which is the difference between total revenue and total cost. Since the rectangle is above the horizontal axis, it represents a positive economic profit, indicating that the firm is making a profit at the output level that maximizes its profits (minimizes its losses).

Use the Following to Answer Question 133