-Refer to the Above Figure

question 269

Multiple Choice

-Refer to the above figure. Which of the following statements about panel D in the figure is TRUE?

• A) The figure represents a long-run equilibrium for a monopolistic competitor.
• B) The figure represents an industry long-run equilibrium for monopolistic competition.
• C) The figure is in error since it doesn't show the monopolistic competitor making profits in the long run.
• D) The figure is in error since it has marginal cost intersecting the ATC curve at a point other than the minimum of ATC.