Which of the following is generally true of a monopolistic competitor operating in the long run?

Question

Quizplus · Accepted Answer

In the long run, a monopolistic competitor will have excess capacity and will not operate at the minimum average total cost point. Instead, they will produce where marginal revenue equals marginal cost and set their price above their marginal cost to earn a positive profit. Therefore, option E is the correct answer.

Which of the Following Is Generally True of a Monopolistic