Use the Figure Below to Answer the Following Questions

question 115

Multiple Choice

Use the figure below to answer the following questions.

Figure 14.2.3
-Refer to Figure 14.2.3. Assume this firm faces demand curve D₁. If this firm in monopolistic competition is maximizing profit,

• A)there will be entry of rival firms into the industry.
• B)rival firms will exit the industry.
• C)the market is efficient.
• D)this firm will exit the industry in the long run.
• E)its profit will rise over time.

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Definitions:

Job Sharing

A work option in which two part-time employees carry out the tasks associated with a single job.

Part-time Employees

Workers who are employed for fewer hours than the full working time, typically offering flexibility and limited benefits compared to full-time positions.

Single Job

A position of employment where an individual is hired to perform a specific set of tasks or responsibilities.

Flextime

A scheduling policy in which full-time employees may choose starting and ending times within guidelines specified by the organization.