According to Chamberlin, the fact that in the long run average total cost exceeds its minimum value under monopolistic competition is
A) the social cost of monopolistic competition.
B) the most important reason for why monopolistic competition is not efficient.
C) part of the cost of producing different products for consumers.
D) actually beneficial because it makes adjustments easier when demand increases.
C
You might also like to view...
The unemployment rate is calculated as:
A) (number of unemployed) ÷ (number of employed + number of unemployed). B) (number of unemployed) ÷ (number of employed). C) (number of employed + number of unemployed) ÷ (labor force). D) (labor force) ÷ (number of unemployed).
Economists use the term shocks to mean
A) unexpected government actions that affect the economy. B) typically unpredictable forces that have major impacts on the economy. C) sudden rises in oil prices. D) the business cycle.