The economic inefficiencies of monopolistic competition may be offset by the fact that:
A. advertising expenditures shift the average cost curve upward.
B. available capacity is fully utilized.
C. resources are optimally allocated to the production of the product.
D. consumers have increased product variety.
Answer: D
Economics
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a. True b. False Indicate whether the statement is true or false
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Benefits of free trade include all of the following EXCEPT
A) increased world production. B) higher standards of living. C) transmission of new ideas. D) increased international mobility of labor.
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