Which Statement Concerning Monopolistic Competition Is False

question 17

Multiple Choice

Which statement concerning monopolistic competition is false?

• A) In the long run P = AC > MC.
• B) Firms may experience losses in the short run.
• C) Firms differentiate their products,but the products are relatively substitutable.
• D) Firms may experience positive economic profits in the long run since barriers to entry are significant.

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Definitions:

Vision and Mission

Fundamental organizational statements where the vision articulates the desired future state and the mission describes the organization's purpose.

Succession Problem

The challenge an organization faces in identifying and preparing new leaders to replace those who are leaving.

Equally Capable

Being as competent or skilled in particular tasks or fields as others.

General Managers

Managers who are responsible for complex, multifunctional units.