The graph depicts the long run average total cost curve for Judy's Gyros - a fast food firm in a monopolistically competitive market. In a long run equilibrium,Iratc100gyrosSelect one:O a. Judy's output would be less than 100 gyrosO b. Judy's output would equal 100 gyrosO c. Judy would be charging a price equal to marginal costO d. Judy's output would be more than 100 gyros

In the long run under monopolistic market firms has EXCESS CAPACITY Firms operate at less than…

Answered: graph depicts the long run average…

graph depicts the long run average total cost curve for Judy's Gyros - a fast food firm in a monopolistically competitive market. In a long run equilibrium,

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter14: Monopolistic Competition And Product Differentiation

Section: Chapter Questions

Problem 1P

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Question

The graph depicts the long run average total cost curve for Judy's Gyros - a fast food firm in a monopolistically competitive market. In a long run equilibrium,
Iratc
100
gyros
Select one:
O a. Judy's output would be less than 100 gyros
O b. Judy's output would equal 100 gyros
O c. Judy would be charging a price equal to marginal cost
O d. Judy's output would be more than 100 gyros

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