A monopolistic competitor in long-run equilibrium is like a perfect competitor in that
A) price equals marginal cost.
B) price is greater than marginal cost.
C) zero economic profits are made.
D) both produce at the minimum points of their average total cost curves.
C
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The more elastic the demand curve, the smaller is the deadweight loss resulting from the imposition of a tax
a. True b. False Indicate whether the statement is true or false
An effective import quota will
a. increase the revenue received by the exporting nation b. eliminate all incentives for trade between nations c. reduce the quantity demanded of the imported good d. lead to a lower domestic price e. lead to a higher price in the exporting nation
Which statement is true?
A. The poverty line is raised each year. B. The poverty line is lowered each year. C. The poverty line stays the same from one year to the next. D. None of these statements are true.
What are social costs? How do they differ from private costs?
What will be an ideal response?