Figure 913 Figure 9

question 17

Multiple Choice

Figure 9.13 Figure 9.13 shows short-run cost and demand curves for a monopolistically competitive firm in the market for designer watches.
-Refer to Figure 9.13.If the diagram represents a typical firm in the designer watch market,what is likely to happen in the long run?

• A) Some firms will exit the market causing the demand to increase for firms remaining in the market.
• B) The firms that are incurring losses will be purchased by their more successful rivals.
• C) Inefficient firms will exit the market, and new cost efficient firms will enter the market.
• D) Firms will have to raise their prices to cover costs of production.

---

Definitions:

Percent

A measure expressed as a fraction of 100, representing a part of a total.

Avoidant Attachment

A type of attachment style characterized by difficulty in trusting others, emotional distance, and reluctance to depend on others for emotional support.

Anxious Attachment

A type of attachment characterized by insecurity and worry about relationships, often stemming from inconsistent caregiving experiences in childhood.

Secure Attachment

A strong and positive emotional bond between a child and their caregiver, characterized by trust and a sense of safety.