Which of the Following Statements About a Monopolistically Competitive Firm

question 1

Multiple Choice

Which of the following statements about a monopolistically competitive firm is FALSE?

• A) It tries to differentiate its product from that of competitors.
• B) It may earn short-run economic profits.
• C) It produces the quantity at which MC=MR.
• D) It sets price like a perfectly competitive firm.

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Definitions:

Pi Bonds

Covalent chemical bonds formed by the side-by-side overlap of p-orbitals, allowing electron density to be shared in regions above and below the bond axis.

Compound

refers to a substance formed by the chemical combination of two or more elements in definite proportions and with specific chemical properties.

σ* Molecular Orbital

An antibonding molecular orbital formed by the out-of-phase combination of atomic orbitals.

Nodes

Points along a standing wave where the wave amplitude is zero, or points in an atom where the probability of finding an electron is zero.