How is a monopolistically competitive firm similar to a monopoly firm?

A) Both produce where marginal revenue equals marginal cost.
B) Both will observe entry into the industry if economic profit is positive.
C) Both produce a unique good.
D) Both produce where price equals marginal cost.

A

Economics

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A) Markets; team production efficiencies B) Markets; transactions costs C) Firms; economies of scale D) Firms; principal-agent problems

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Because the process can increase average wages, collective bargaining increases the well-being of all workers.

a. true b. false

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