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if a firm is in monopolistic competition, then their marginal revenue: will be less than the price will be above the price O
the firm will expand and earn larger and larger profits. O profits will continue because barriers to entry are high. other fi
Which of the following is the best example of oligopoly? eggs beef Bottled water milk
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Answer #1

Ans:-1) If a firm is in a monopolistic competition,then their marginal revenue will be less than the price.

Explanation:-In a monopolistic competition the marginal revenue is less than average revenue and price.In a perfect competitive firm marginal revenue is equal to price and average revenue.But monopoly,monopolistic competitive or oligopolic firm the marginal revenue is less than average revenue and price.

Ans:-2)Bottled water is the best example of oligopoly

Example:-Oligopoly is a state of limited competition,in which a market is shared by a small number of producers or sellers.Bottled water industry is the best example of oligopolic market structure .In the bottled water industry few players dominate the market.

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