If There Are Economic Profits in a Monopolistically Competitive Industry,they

question 25

Multiple Choice

If there are economic profits in a monopolistically competitive industry,they will generally be competed away through the

• A)introduction of brand name products by existing firms.
• B)entry of new firms.
• C)increasing advertising budgets of existing firms.
• D)manipulation of the demand curve.
• E)exit of existing firms.

---

Definitions:

Single Life Annuity Contract

An insurance policy that provides a fixed or variable payment to an annuitant at regular intervals for their lifetime.

Tax-free Amount

An amount or income received that is not subject to income tax by the taxpayer.

Qualified Pension Plan

A retirement plan that meets the requirements of the Internal Revenue Code, offering tax benefits to the entity that establishes the plan and its participants.

Simplified Method

A way to calculate tax deductions or credits that reduces complexity, often used for retirement distribution calculations or home office deductions.