The Number of Firms in a Monopolistically Competitive Market Will

question 67

Multiple Choice

The number of firms in a monopolistically competitive market will be smaller if

• A)the market demand curve shifts rightward.
• B)minimum efficient scale is lower.
• C)fixed costs are smaller.
• D)fixed costs are larger.

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Definitions:

Ecological Isomorphism

The concept that ecological systems or organisms show similar structures, processes, or relationships despite being from different environments or evolutionary backgrounds.

Selection Bias

A problem in experimental design stemming from the experimental groups not being comparable.

Spurious Relationships

A connection between two variables that appears causal but is actually caused by a third variable.

Experimental Situation

The setting experimental subjects are placed in. This setting may be a threat to external validity if it does not reflect external reality.