In the Long Run, Firms in Monopolistic Competition Make Zero

question 46

Multiple Choice

In the long run, firms in monopolistic competition make zero economic profit because

• A) their products are similar but slightly different.
• B) their demand curves are horizontal.
• C) of over-reliance on product marketing.
• D) of collusion among the various sellers.
• E) firms are free to enter and exit.

---

Definitions:

Cumulative Percent

The percentage that represents the total number of cases or instances up to a certain threshold.

10th Grade

A stage in the U.S. education system typically referring to the second year of high school education, attended by students around 15-16 years old.

Grouped Frequency Distribution

A method of displaying data by specifying the number of occurrences in each group of data.

Intervals

Continuous ranges of values or categories between two points, often used to specify confidence levels in statistics or musical distances in music.