Which of the Following Is Not a Characteristic of Long-Run

question 66

Multiple Choice

Which of the following is not a characteristic of long-run equilibrium in a monopolistically competitive market?

• A)Selling price equals average total cost.
• B)Production is at minimum average total cost.
• C)Marginal revenue equals marginal cost.
• D)Selling price is greater than marginal cost.

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Definitions:

Standard Deviation

A statistical measure of the dispersion or variability of a set of values, indicating how much the values in a data set differ from the mean.

Well-diversified Portfolio

An investment strategy that spreads risk by allocating investments among various financial instruments, sectors, or other categories.

Variability of Returns

The extent of fluctuation in the returns on an investment over a certain period of time, often used as a measure of investment risk.

Business-specific Risk

This is the risk associated with the unique factors impacting a specific company or industry, excluding broader market or economic risks.