An Important Difference Between the Situation Faced by a Profit-Maximizing

question 629

Multiple Choice

An important difference between the situation faced by a profit-maximizing monopolistically competitive firm in the short run and the situation faced by that same firm in the long run is that in the short run,

• A)price may exceed marginal revenue, but in the long run, price equals marginal revenue.
• B)price may exceed marginal cost, but in the long run, price equals marginal cost.
• C)price may exceed average total cost, but in the long run, price equals average total cost.
• D)there are many firms in the market, but in the long run, there are only a few firms in the market.

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Definitions:

English Football

Describes the game of soccer as played in England, featuring a structure from amateur and youth clubs up to professional leagues.

Prejudice

Prejudice is a preconceived opinion or bias against an individual or group without sufficient knowledge, thought, or reason.

Stereotyping

Assigning generalized attributes to individuals based on their membership in a particular group, leading to oversimplified opinions.

Morally Wrong

Actions or behaviors that are in violation of ethical or moral principles.