The demand curve faced by a monopolistically competitive firms is

A) horizontal.
B) vertical.
C) downward sloping.
D) unitary elastic.

Answer: C

Economics

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You notice that the price of orange juice at your local grocery store has increased. Which of the following statements is not a possible explanation for the rise in the price of orange juice? a. Frosty weather destroys oranges causing the price of oranges to increase

b. As a result of an increase in income, consumers wish to purchase more orange juice at every price level. c. A recent scientific study is reported in the press that suggests that apple juice may be contaminated with pesticides. d. Due to the bioengineering of orange trees, the domestic supply of oranges increases.

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Which of the following environmental problems is among the least-easily solved?

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Economics