Which of the Following Is Correct

question 87

Multiple Choice

Which of the following is correct?

• A) The excess capacity problem diminishes as the monopolistically competitive firm's demand curve becomes less elastic.
• B) The excess capacity problem means that monopolistically competitive firms typically produce at some point on the rising segment of their average total cost curve.
• C) The greater the degree of product variation, the lesser is the excess capacity problem.
• D) The greater the degree of product variation, the greater is the excess capacity problem.

---

Definitions:

Emotional Appeals

A persuasive technique that targets the emotions of the audience to create a connection or elicit a response.

Authority Figure

An individual who holds power or control in a particular context, often able to influence others' actions or beliefs.

Obedience

The act of following the directives or commands of authorities or social norms, often studied in the context of how people can be influenced or controlled by others.

Milgram's Study

An influential experiment conducted by Stanley Milgram in the 1960s to investigate obedience to authority, demonstrating that people are willing to administer what they believe are painful electric shocks to another person when instructed by an authority figure.