Which of the following is an outcome of advertising for a monopolistically competitive firm?
a. Long-run average costs shift downward
b. The firm's demand curve becomes flatter and shifts inward.
c. The firm's demand curve keeps the same slope and shifts inward.
d. Long-run average costs shift upward.
d
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Suppose a country has no trade with other countries and people can borrow as many funds as they want at the current interest rate. An increase in the price level will generate
A) a decrease in total planned real expenditures because of the real-balance effect. B) a decrease in total planned real expenditures because the indirect effect will be stronger than the real-balance effect. C) a decrease in total planned real expenditures because the real-balance effect will be stronger than the indirect effect and the open-economy effect. D) a decrease in total planned real expenditures because of the open-economy effect and the indirect effect.
The demand by all the consumers of a given good or service is the ________ for the good or service
A) market demand B) scheduled demand C) quantity demanded D) law of demand