The market for wheat can be described at perfectly competitive while the market for pizza is better described as monopolistically competitive
Which of the following is a NOT a similarity between perfectly competitive and monopolistically competitive firms? A) Both monopolistically competitive and perfectly competitive firms produce at their efficient scale.
B) Both monopolistically competitive and perfectly competitive firms are free to enter and exit the market.
C) Both monopolistically competitive and perfectly competitive firms have a small market share.
D) There are a large number of firms in both monopolistically competitive and perfectly competitive markets.
A
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The best example of a market capitalist economy is:
A) Russia. B) China before 1979. C) Cuba. D) the United States.
Excess capacity and high advertising expenditures are most likely to be encountered in
A) perfect competition. B) monopolistic competition. C) monopoly. D) both monopolistic and perfect competition.