Compare Monopolistic competition and perfect competition in terms of 1. The way they compete with other...
Compare Monopolistic competition and perfect competition in terms of
1. The way they compete with other businesses
11. Their profits in the short and long run
111. The efficiency in which they use resources
Homework Answers
a) A monopolistic competition and perfect competition both have very small market share to influence the market, but the monopolistic competition have some control over the price they charge that is why they have a downward sloping demand curve.
b) Both the markets can earn a short run profit but free entry and exit in the market will lead to only a break even in the long run in both the markets.
c) perfect market is mot efficient as it is allocative and productive efficient in the market but the monopolistic competitive firm is neither allocative efficient or productive efficient.
Add Answer to:
Compare Monopolistic competition and perfect competition in
terms of
1. The way they compete with other...
Compare the advantages and disadvantages of perfect competition and monopolistic competition in terms of how they...
Compare the advantages and disadvantages of perfect competition and monopolistic competition in terms of how they benefit society.
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...
In detail compare and contrast monopolistic competition and perfect competition. Thank you.
In detail compare and contrast monopolistic competition and perfect competition. Thank you.
Monopolistic competition is like perfect competition in that they both: put labels on their products. have...
Monopolistic competition is like perfect competition in that they both: put labels on their products. have numerous competitors. make zero economic profit in the short run. erect barriers to entry. It is easy to enter and exit from which of the following industrial structures? monopoly oligopoly monopolistic competition natural monopoly
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...
1.In terms of perfectly competitive or monopolistic competition, determine whether one, both, or neither of the...
1.In terms of perfectly competitive or monopolistic competition, determine whether one, both, or neither of the two markets possess the following feature: The firm maximizes profit when P=MC. (may be more than 1) a) This feature is exhibited in perfect competition only. b) This feature is exhibited in a monopoly only. c) This feature is exchibited in both perfect competition and monopoly. d) This feature is exhibited in neither perfect competition or monopoly. 2.In terms of perfectly competitive or monopolistic...
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...
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
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...
Monopolistic competition is like perfect competition in that they both: put labels on their products. have numerous competitors. make zero economic profit in the short run. erect barriers to entry. It is easy to enter and exit from which of the following industrial structures? monopoly oligopoly monopolistic competition natural monopoly
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
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...
Most questions answered within 3 hours.
-
5) A semi-permeable membrane is used to separate pyruvic acid
from an aqueous solution of 0.1...
asked 10 seconds from now -
The resistance of the body varies from approximately 500 kΩ
(when it is very dry) to...
asked 3 minutes ago -
Please explain how participation income and expenses are
allocated to each partner. Where is this defined?
asked 13 minutes ago -
The tires of a car make 61 revolutions as the car reduces its
speed uniformly from...
asked 28 minutes ago -
Peabody, Inc., sells fireworks. The company’s marketing director
developed the following cost of goods sold budget...
asked 32 minutes ago -
A signal transduction pathway includes the steps listed
below.
1. An inactive signal transduction molecule is...
asked 31 minutes ago -
1. The correlation coefficient determined for two variables has
a value of 0.89. Describe, in words,...
asked 37 minutes ago -
The following data relate to direct materials costs for
November:
Actual costs
4,700 pounds at $5.35...
asked 36 minutes ago -
Kyle, a 95.0 kg football player, leaps straight up into the air
(with no horizontal velocity)...
asked 1 hour ago -
Which of the following is a measure of profitability?
A.
Quick (acid-test) ratio
B.
Net sales...
asked 1 hour ago -
Find the total pressure exerted by 2 grams of ethane and 3 grams
of CO2 contained...
asked 1 hour ago -
A fireman standing on a 5.2 m high ladder operates a water hose
with a round...
asked 1 hour ago