The figure above shows Bill's Hotdogs, a monopolistically competitive firm. If other firms enter the market and have hot dogs that are very close substitutes for Bill's Hotdogs, then the demand curve for Bill's Hotdogs will ________
A) shift leftward and become more elastic
B) shift rightward and become more elastic
C) shift rightward and be parallel to the original demand curve
D) shift leftward and be parallel to the original demand curve
A
Economics
You might also like to view...
During the 1950s and 1960s, the national debt as a percent of GDP in the United States
a. soared to an all-time high. b. declined. c. increased. d. was virtually unchanged.
Economics
Answer the following questions true (T) or false (F)
1. The dynamic aggregate demand and aggregate supply model assumes that potential GDP increases over time. 2. Inflation is generally the result of total spending growing faster than total production. 3. One factor which brought on the recession of 2007-2009 was the end of the housing bubble.
Economics