All of the Following Are True for Both Competition and Monopolistic

question 19

Multiple Choice

All of the following are true for both competition and monopolistic competition in the long run,except one of them.Which is it?

• A) P = MC
• B) P = AC
• C) Economic profits become zero in the long-run
• D) The barriers to entry and exit are relatively easy
• E) None of the above is an exception

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Definitions:

Ferris State University

A public university located in Big Rapids, Michigan, known for its comprehensive educational programs.

Chi-Square Distributions

A statistical distribution that is used to assess how likely it is that an observed distribution is due to chance, especially useful for categorical data.

Skewed to the Right

A distribution where the tail on the right side of the histogram is longer or fatter than the left side.

Chi-Square Random Variable

Represents a distribution that arises from squaring a standard normal distribution, commonly used in hypothesis testing.