An Important Similarity Between a Monopolistically Competitive Firm and a Pure

question 162

Multiple Choice

An important similarity between a monopolistically competitive firm and a pure monopolist is that both

• A) realize an economic profit in the long run.
• B) achieve allocative efficiency.
• C) face demand curves that are less than perfectly elastic.
• D) achieve productive efficiency.

Recognize the tools used in public relations and their applications.

Understand the advantages and disadvantages of publicity as a promotional tool.

Comprehend the types of sales promotions and their strategic use in marketing.

Understand the role of personal selling and relationship building in marketing.

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Definitions:

Inflation Rate

The rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.

Annual Rate

The interest rate for a whole year, as opposed to just a monthly fee/rate or other rate expressed for a different period.

Effective Interest Rate

The equivalent annually compounded rate of interest.

Lump Sum

A single payment made at a particular time, as opposed to a series of payments made over time.