Monopolistically competitive firms may not be able to produce goods at the lowest possible average cost. This statement is describing how monopolistically competitive firms might be _____.
(A) Without economies of scale.
(B) Unable to engage in price fixing.
(C) Lacking differentiation.
(D) Unsuccessful at nonprice competition.
Ans: (A) Without economies of scale.
Economics
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A natural monopoly is characterized by large fixed costs relative to variable costs
Indicate whether the statement is true or false
Economics
If Ann's utility function is U = W0.5, and she invests in a business which can yield $6,400 with probability 1/5, and $3600 with probability 4/5, then her expected utility is
A) 80. B) 76. C) 64. D) 60.
Economics