Homework Answers
Option A is correct
Perfect competition as well as monopolistic firms make zero economic profit in long run due to new firms entering in the market in long run when profits are positive in short run.
Add Answer to:
Question 18 (3 points) Long-run equilibrium in perfect competition and in monopolistic competition are similar because,...
One thing that makes monopolistic competition similar to perfect competition is that, in the a short...
One thing that makes monopolistic competition similar to perfect competition is that, in the a short run, neither can earn positive economic profit. b long run, both are guaranteed positive economic profit. c long run, both will earn zero economic profit. d short run, both are guaranteed positive economic profit. e long run, both could earn positive economic profit, but monopolistic competitors will earn more than perfect competitors. Refer to the following graph to answer the following questions: In the...
QUESTION 1 Which of the following is not a characteristic of the monopolistic competition market structure?...
QUESTION 1 Which of the following is not a characteristic of the monopolistic competition market structure? Many sellers, each small in size relative to the overall market. Few sellers. Differentiated product. Easy, low-cost entry and exit. QUESTION 2 Which of the following is the best example of a monopolistic competitor? Wheat farmers. Restaurants. Air Canada. General Motors. QUESTION 3 In the long run, both monopolistic competition and perfect competition result in: a wide variety of brand-name choices for consumers. an...
A monopolistic competitor in long-run equilibrium is like a perfect competitor in that A. zero economic...
A monopolistic competitor in long-run equilibrium is like a perfect competitor in that A. zero economic profits are made. B. price equals marginal cost. C. both produce at the minimum points of their average total cost curves. D. price is greater than marginal cost.
QUESTION 7 Monopolistic competitive firms in the long run earn: positive economic profits. zero pure economic...
QUESTION 7 Monopolistic competitive firms in the long run earn: positive economic profits. zero pure economic profits. negative economic profits. Positive, zero, or negative economic profits. QUESTION 8 Which of the following statements best describes firms under monopolistic competition? Profits will be positive in the long run. Price always equals average variable cost. In the long run, positive economic profit will be eliminated. Marginal revenue equals minimum average total cost in the short run. QUESTION 9 Which of the following...
In perfect competition as well as in monopolistic competition, a. profit is positive in a long-run...
In perfect competition as well as in monopolistic competition, a. profit is positive in a long-run equilibrium for each firm. b.entry and exit by firms are restricted. c. there are many firms in a single market. d. marginal revenue is equal to price for each firm. ECTION 22 Monopolistic competition differs from perfect competition because in monopolistically competitive markets a. all firms can eventually earn economic profits. b. each of the sellers offers a somewhat different product. C. strategic interactions...
ID: T because the long-run economic 38. Monopolistic competition is simlar to because the way the...
ID: T because the long-run economic 38. Monopolistic competition is simlar to because the way the firm maximizes its profit. proft i s zero; similar to b. monopoly perfect competition Exhibit 10-5 Price MC ATC 39. To maximize profit in the short run, the monopolistic competitive firm in Exhibit 10-5 should a. produce 8 units b. shut down c. produce 10 units d. exit 40. To maximize profit in the short run, the monopolistic competitive firm in Exhibit 10-5 should...
o Question 16 1.5 pts The theory of monopolistic competition predicts that in long-run equilibrium a...
o Question 16 1.5 pts The theory of monopolistic competition predicts that in long-run equilibrium a monopolistically competitive firm will: produce at the level in which price equals long-run average cost. operate at minimum long-run average cost. overutilize its insufficient capacity. e none of these
Which of the following is not true of both firms in monopolistic competition and firms in...
Which of the following is not true of both firms in monopolistic competition and firms in perfect competition? A. Both types of firms produce at minimum ATC. B. Both types of firms produce where MC MR. C. Both types of firms have the possibility of short-run economic profits or losses. O D. Both types of firms can earn zero economic profits in long-run equilibrium
Which market structure can earn long-run economic profits? a. Perfect competition b. Monopolistic competition c. Oligopoly...
Which market structure can earn long-run economic profits? a. Perfect competition b. Monopolistic competition c. Oligopoly d. Monopoly e. c and d only All firms produce where a. marginal benefits are greater than marginal profits b. short-run profits are less than long-run profits c. marginal revenues are greater than or equal to marginal costs d. average total costs are greater than marginal costs A perfect competitor is a __________ and can earn economic profits ____________. a. price maker, in both...
Long-run equilibrium in monopolistic competition is characterized by which of the following? (There may be more...
Long-run equilibrium in monopolistic competition is characterized by which of the following? (There may be more than one correct answer.) a. Excess capacity b. Monopoly profits as a result of collusion c. Zero profits d. More profits than under perfect competition but less than under monopoly e. P = MC
In perfect competition as well as in monopolistic competition, a. profit is positive in a long-run equilibrium for each firm. b.entry and exit by firms are restricted. c. there are many firms in a single market. d. marginal revenue is equal to price for each firm. ECTION 22 Monopolistic competition differs from perfect competition because in monopolistically competitive markets a. all firms can eventually earn economic profits. b. each of the sellers offers a somewhat different product. C. strategic interactions...
ID: T because the long-run economic 38. Monopolistic competition is simlar to because the way the firm maximizes its profit. proft i s zero; similar to b. monopoly perfect competition Exhibit 10-5 Price MC ATC 39. To maximize profit in the short run, the monopolistic competitive firm in Exhibit 10-5 should a. produce 8 units b. shut down c. produce 10 units d. exit 40. To maximize profit in the short run, the monopolistic competitive firm in Exhibit 10-5 should...
o Question 16 1.5 pts The theory of monopolistic competition predicts that in long-run equilibrium a monopolistically competitive firm will: produce at the level in which price equals long-run average cost. operate at minimum long-run average cost. overutilize its insufficient capacity. e none of these
Which of the following is not true of both firms in monopolistic competition and firms in perfect competition? A. Both types of firms produce at minimum ATC. B. Both types of firms produce where MC MR. C. Both types of firms have the possibility of short-run economic profits or losses. O D. Both types of firms can earn zero economic profits in long-run equilibrium
Most questions answered within 3 hours.
-
How can we identify what the horizontal force is when looking at
a merry go round?...
asked 17 minutes ago -
While Dime Community Bank is based in Brooklyn; management has
decided to focus its lending activity...
asked 42 minutes ago -
1) Earnings functions, whereby the log of earnings is regressed
on years of education, years of...
asked 15 minutes ago -
Bruno Corporation is involved in the business of injection
molding of plastics. It is considering the...
asked 21 minutes ago -
What would be the vapor pressure of water at 96°C above a
solution made by dissolving...
asked 36 minutes ago -
Hydration of norbornene
Write the reaction. Discuss the intermediate. Explain how the
equilibrium in the reaction...
asked 43 minutes ago -
Suppose that a party wanted to enter an FRA that expires in 42
days and is...
asked 44 minutes ago -
ABC Ltd. estimated that a new store requires an initial
investment of $800,000. This new store...
asked 44 minutes ago -
1. Review the Nike’s marketing strategy. You must include the
company’s target market, possible market segmentation,...
asked 57 minutes ago -
One of the major advantages of ______________ is to enhance
security for private networks by keeping...
asked 1 hour ago -
Book:
Title: Framework for
Marketing Management, 15th edition
Author/s: Philip T.
Kotler, Kevin Lane Keller
1....
asked 1 hour ago -
Given Uber’s recent corporate turbulence and ongoing
initiatives, provide a holistic situational analysis of the
environment...
asked 1 hour ago