In Monopolistic Competition,there Is Inefficiency Because Price Is Greater Than

question 72

Multiple Choice

In monopolistic competition,there is inefficiency because price is greater than marginal cost.What brings about this inefficiency?

• A) high concentration, as indicated by the large concentration ratio
• B) product differentiation
• C) freedom of entry and exit
• D) marginal cost rises as more output is produced
• E) the fact there are many firms in the market

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Definitions:

Projective Tests

Psychological assessments that use ambiguous stimuli to evoke responses that reveal aspects of an individual's personality.

Validity

The extent to which a test, instrument, or procedure measures what it is supposed to measure.

Reliability

Refers to the consistency of a research study or measuring test.

Rogers's Theory

A psychological theory developed by Carl Rogers, focusing on his concept of the self and the importance of the self-actualizing tendency in forming a healthy, fully functioning person.