In the real world, perfectly competitive markets are very few. Most markets are monopolistically competitive or oligopolistic

For the unregulated, single-price monopoly shown in the figure above, when its profit is maximized, output will be

A) 4 units per year and the price will be $6. B) 4 units per year and the price will be $4. C) 6 units per year and the price will be $4. D) None of the above answers is correct.

The case against advertising includes the fact that

A. it increases competition by decreasing barriers to entry of new firms into an industry. B. it ensures high quality and efficient production. C. it provides consumers with valuable information about product availability, quality, and price. D. firms spend large sums of money to create artificial differences among products.