If a Firm in Monopolistic Competition Is Making an Economic

question 75

Multiple Choice

If a firm in monopolistic competition is making an economic profit,

• A) it is in the long run.
• B) other firms can enter the market.
• C) it can do so because it is "monopolistic" and other firms will have a hard time competing with it.
• D) its average cost must exceed its marginal cost.
• E) The question errs because firms in monopolistic competition cannot make an economic profit.

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Definitions:

Vestibular Sacs

Structures in the inner ear that help maintain balance by sensing changes in head position, contributing to the vestibular system.

Olfactory Receptors

Specialized nerve cells in the nose involved in detecting and identifying different odors.

Sensorineural Hearing Loss

A type of hearing loss resulting from damage to the inner ear or the nerve pathways from the ear to the brain.

Cochlea

A spiral-shaped, fluid-filled inner ear structure responsible for converting sound waves into electrical signals the brain can understand.