In the Monopolistic Competition Model,the Attribute of Free Entry Suggests

question 110

Multiple Choice

In the monopolistic competition model,the attribute of free entry suggests that:

• A) all firms earn zero economic profits in the long run.
• B) some firms will be able to earn economic profits in the long run.
• C) some firms will be forced to incur economic losses in the long run.
• D) the market structure will eventually be characterized by perfect competition in the long run.

---

Definitions:

Dopamine

Dopamine is a neurotransmitter that plays a key role in the brain's reward system, influencing mood, motivation, and pleasurable sensations, along with various physical processes.

Serotonin

A neurotransmitter in the brain that plays a critical role in regulating mood, anxiety, and happiness.

Addiction

Compulsive drug craving and use, despite the negative consequences of using the drug.

Novelty

The quality of being new, original, or unusual.