Monopolistic competition is judged to be economically inefficient because
A) the price is greater than marginal cost.
B) firms earn zero economic profit in the long run.
C) marginal revenue equals marginal cost.
D) firms have deficient capacity in the long run.
E) firms earn an economic profit in the long run.
Correct Answer:
Verified
Q65: In monopolistic competition there
A) are many firms
Q67: Product differentiation means
A) making a product that
Q70: A firm in monopolistic competition has _
Q73: The larger the four-firm concentration ratio,the _
Q104: Which of the following is correct?
A)A firm
Q109: Even though monopolistic competition results in inefficiency,it
Q111: For a firm in monopolistic competition,innovation and
Q131: If a firm is maximizing its profit
Q133: One of the major benefits to society
Q150: Monopolistic competition is efficient when compared to
A)
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents