A Firm in Long-Run Equilibrium Under Monopolistic Competition Will Earn

question 2

Multiple Choice

A firm in long-run equilibrium under monopolistic competition will earn

• A) zero economic profits because of free entry.
• B) positive monopoly profits because each sells a differentiated product.
• C) positive oligopoly profits because each firm sells a differentiated product.
• D) negative economic profits because it has economies of scale.
• E) positive economic profit if it engages in international trade.

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Definitions:

Household Responsibilities

Tasks and activities associated with managing and maintaining a home, such as cleaning, cooking, and managing finances.

Self-Disclosure

The act of revealing personal, private, or sensitive information about oneself to others, facilitating greater intimacy and trust in relationships.

Relational Aggression

Nonphysical acts aimed at harming a person’s connections with others, such as by exclusion and rumor spreading.

Risky Behaviors

Actions that expose individuals to harm or hold a significant chance of negative outcomes, often associated with health or safety.