Which of the following are characteristics the monopolistically competitive firm and the perfectly competitive firm do not have in common? Question 6 options: a) in the long run price equals ATC b) both typically exhibit an upward sloping marginal cost curve c) both earn zero economic profits in the long run d) both set price equal to marginal revenue

Which of the following are characteristics the monopolistically competitive firm and the perfectly competitive firm do not have in common? Question 6 options: a) in the long run price equals ATC b) both typically exhibit an upward sloping marginal cost curve c) both earn zero economic profits in the long run d) both set price equal to marginal revenue

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter10: Monopolistic Competition And Oligoply

Section: Chapter Questions

Problem 6SQ

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Question

Which of the following are characteristics the monopolistically competitive firm and the perfectly competitive firm do not have in common?

Question 6 options:

a)	in the long run price equals ATC

b)	both typically exhibit an upward sloping marginal cost curve

c)	both earn zero economic profits in the long run

d)	both set price equal to marginal revenue

Defintion Defintion Curve that represents the graphical relationship between the total supply of goods and services and the price level in the economy. When the price level increases, producers tend to supply more of a product in the market to earn a higher revenue or vice versa.

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