The Following Figure Shows the Cost Curves (Average Total Cost,ATC;

question 263

Multiple Choice

The following figure shows the cost curves (average total cost,ATC; marginal cost,MC) of a firm that operates in a monopolistic competition market,as well as the demand (D) facing the firm and its marginal revenue (MR) .In the long-run,this firm's MR curve will ________.

• A) shift right
• B) shift left
• C) remain unchanged
• D) become more inelastic

---

Definitions:

Statistically Significant

A term denoting that the likelihood that a relationship between two or more variables is caused by something other than random chance is high enough to be considered notable.

Independent Variable

In research, an independent variable is the variable that is manipulated or controlled by the researcher to study its effect on a dependent variable.

Dependent Variable

In experimental and statistical research, the outcome variable that is measured to assess the effect of the independent variable.

P Value

A statistical measure that helps researchers determine whether their hypotheses are correct; it represents the probability of observing the obtained results, or more extreme, by chance if the null hypothesis of a study is true.