In the model of monopolistic competition,trade costs between countries will cause domestic and foreign markets to have ________ prices,________ quantities sold,and ________ profit levels.

Question

Quizplus · Accepted Answer

Trade costs will make it difficult for businesses to engage in international trade and cause markets to become more isolated. This results in different prices, quantities sold, and profit levels for domestic and foreign markets in monopolistic competition.

In the Model of Monopolistic Competition,trade Costs Between Countries Will