Which of the following is true regarding the similarities and differences in monopolistic competition and monopoly ?

Related Mcqs:

Which of the following is true regarding the production and pricing decisions of monopolistically competitive firms? Monopolistically competitive firms choose the quantity at which marginal cost equals ?

A. marginal revenue and then use the demand curve to determine the price consistent with this quantity B. average total cost and then use the supply curve to determine the price consistent with this quantity C. marginal revenue and then use the supply curve to determine the price consistent with this quantity D. average total … Which of the following is true regarding the production and pricing decisions of monopolistically competitive firms? Monopolistically competitive firms choose the quantity at which...

Which of the following is true with regard to monopolistically competitive firms scale of production and pricing decisions Monopolistically competitive firms produce ?

A. at the efficient scale and charge a price equal to marginal cost B. at the efficient scale and charge a price above marginal cost C. With excess capacity and charge a price above marginal cost D. With excess capacity and charge a price equal to marginal cost...

When firms enter a monopolistically competitive market and the business-stealing externality is larger than the product-variety externality then ?

A. there are too many firms in the market and market efficiency could be increased if firms exited the market B. the number of firms in the market is optimal and the market is efficient C. There are too few firms in the market and market efficiency could be be increased with additional entry D. … When firms enter a monopolistically competitive market and the business-stealing externality is larger than the product-variety externality then ?Read More...

The use of the word “monopoly” in the name of the market structure called “monopolistic competition” refers to the fact that ?

A. monopolistically competitive firms charge prices equal to their marginal costs just like monopolists B. a monopolistically competitive firms faces a downward-sloping demand curve for its differentiated product and so does a monopolist C. monopolistically competitive markets have free entry and exit just like a monopolistic market D. monopolistically competitive firms produce beyond their efficient … The use of the word “monopoly” in the name of the market structure called “monopolistic competition” refers to the fact that ?Read More...

Defenders of the use of brand names argue that brand names ?

A. all of these answers B. are useful even in socialist economics such as the former Soviet Union C. provide information about the quality of the product give firms incentive to maintain high quality...