Compared with a perfectly competitive firm facing the same costs, long-run equilibrium for a monopolistically competitive firm will result in
A. a higher price and less output.
B. a lower price and less output.
C. a higher price and greater output.
D. a lower price and greater output.
Answer: A
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Which of the following are examples of "mediums of exchange"?
A) pigs used to obtain chickens B) goods used to obtain other goods C) money used to buy goods D) all of the above
Suppose a farmer is a price taker for soybean sales with cost functions given by TC = .1q2 + 2q + 100 MC = .2q + 2 The firm's supply curve is given by
a. q = 5P - 10 b. q = .2P +2 c. q = 10P - 2 d. q = 2P - 5
The aggregate supply curve reflects the inverse relationship between the interest rate and the quantity of real GDP supplied
a. True b. False Indicate whether the statement is true or false
Suppose the economy is closed and consumption is 8 million, taxes are 2 million, and government purchases are 1.75 million. If national saving amounts to 1.25 million, then what is GDP?
a. 9 million. b. 9.5 million. c. 13 million. d. 11 million.