Monopolistic competition and perfect competition are different in that
A) only monopolistically competitive firms advertise.
B) only monopolistically competitive firms can earn economic losses in the short-run.
C) only perfectly competitive firms maximize profits where marginal revenue equals marginal cost.
D) only perfectly competitive firms are characterized by long-run economic profits of zero.
A
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According to this Application, in Peru, producing palm oil is very profitable but is a time consuming process. Producing coca paste, an ingredient in cocaine, is not as costly or as time consuming as the production of palm oil
To switch Peruvian farmers from producing an ingredient used for cocaine to producing the profitable and safe palm oil would require A) improvements in finance and the ability to borrow funds. B) informal ownership of property. C) governmental approval. D) cocaine being declared illegal in Peru.
When a nation imports a good, its ________ surplus decreases and its ________ surplus increases
A) consumer; producer B) consumer; consumer C) producer; producer D) producer; consumer E) total; consumer