Which of the Following Statements Is True

question 106

Multiple Choice

Which of the following statements is true?

• A)Monopolistic competitive firms do not experience the law of diminishing marginal returns when they produce output.
• B)Monopolistic competitive firms face a downward-sloping demand curve and a horizontal marginal cost curve.
• C)There are many buyers and few sellers in the theory of monopolistic competition.
• D)Monopolistic competitors are said to underutilize their present plant size.

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Definitions:

Serotonin

A neurotransmitter that contributes to feelings of well-being and happiness, also involved in regulating mood, appetite, and sleep.

Dopamine

A neurotransmitter in the brain that plays a key role in reward, motivation, memory, attention, and even regulating body movements.

Acetylcholine

A neurotransmitter in both the peripheral and central nervous systems that plays crucial roles in the stimulation of muscle cells and in various aspects of cognitive function, including memory.

Endorphin

Endorphins are natural chemicals produced in the brain that help to reduce pain and boost happiness.