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Figure 9-C The Graph Depicts a Monopolistically Competitive Firm's Demand, Marginal Revenue

Question 173

Multiple Choice

Figure 9-C
The graph depicts a monopolistically competitive firm's demand, marginal revenue, and cost curves. Figure 9-C The graph depicts a monopolistically competitive firm's demand, marginal revenue, and cost curves. -Refer to Figure 9-C.Based on the diagram, it follows that: A) new firms will enter the industry. B) existing firms will exit the industry. C) the firm is operating in long-run equilibrium. D) the firm could minimize average cost by producing 85 sweaters each week.
-Refer to Figure 9-C.Based on the diagram, it follows that:

A) new firms will enter the industry.
B) existing firms will exit the industry.
C) the firm is operating in long-run equilibrium.
D) the firm could minimize average cost by producing 85 sweaters each week.

Correct Answer: