Which of the following is closest to the economist's definition of perfect competition?

a. the airline industry
b. the soft drink industry
c. the fishing industry
d. cellular telephone service

c

Economics

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Discretionary expenditures

What will be an ideal response?

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Advertising costs

A) make the marginal revenue more elastic. B) shift the ATC curve upward. C) shift the marginal cost curve rightward. D) indirectly shift the marginal cost curve upward. E) affect the marginal cost but not the total cost.

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