URGENT!!!ECON QUESTION

2007-07-16 8:17 am
An important feature that distinguishes monopolistic competition from perfect condition is that

A. Monopolistic competitors sell a differentiated product rather than a homogeneous one.

B.the monopolistic competitor’s demand curve is the same as the market demand curve.

C.in long-run equilibrium, monopolistic competitors earn economic profits, whereas perfectly competitive firms do not.

D.there are important barriers to entry in monopolistic competition.

回答 (1)

2007-07-16 9:56 pm
✔ 最佳答案
answer is A(definition)

not B. Since monpolistic sompetitors can alter its demand curve by advertising

not C. monopolistic competitors can't earn economic profits in LR

not D. free to entry and exit (definition)
參考: myself


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