On the One Hand, the Inefficiency of Monopolistic Competition Is

question 101

Multiple Choice

On the one hand, the inefficiency of monopolistic competition is that it ____. On the other hand, a positive result is ____.

• A)produces too many different products; zero economic profit in the long run
• B)fails to minimize total cost; product variety
• C)results in a deadweight loss; product variety
• D)produces at the point at which marginal revenue equals marginal cost; economic profit
• E)fails to maximize profit; normal profit

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Definitions:

Clavicle

A lengthy bone acting as a brace between the shoulder blade and sternum, commonly referred to as the collarbone.

Scapula

A flat, triangular bone located on the posterior side of the shoulder, serving as an attachment point for muscles and supporting the arm.

Sternum

The sternum, or breastbone, is a long flat bone located in the center of the chest, serving as a major connection point for ribs.

Thoracic Vertebra

One of the twelve vertebrae located in the mid-back section of the spine, which are connected to the rib cage.