The number of firms in a monopolistically competitive market will be smaller if
A) the market demand curve shifts rightward.
B) the minimum efficient scale is lower.
C) fixed costs are smaller.
D) fixed costs are larger.
D
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Answer the next question(s) based on the data contained in the following table.Units of LaborTotal ProductProduct Price00$2.201152.002281.803391.604481.405551.206601.10Assume that the firm is hiring labor in a purely competitive market. If the wage rate is $11, how many workers will the firm choose to employ?
A. 5 B. 4 C. 3 D. 2
Profit maximization occurs at the quantity where marginal cost equals marginal revenue
a. True b. False
The elasticity of any demand curve is the same as its slope
a. True b. False Indicate whether the statement is true or false
The Earned Income Tax Credit (EITC) is a tax provision that allows poor working families to receive income tax refunds greater than the taxes they paid during the year. Therefore, the EITC works much like a