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The Figure Given Below Shows the Revenue and Cost Curves

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The figure given below shows the revenue and cost curves of a monopolistically competitive firm.Figure 12.4
The figure given below shows the revenue and cost curves of a monopolistically competitive firm.Figure 12.4    MR: Marginal revenue curve ATC: Average total cost curve MC: Marginal cost curve -Which of the following is true of the model of monopolistic competition? A) Barriers to entry enable firms to enjoy positive profits in the long run. B) The number of firms declines over time as a result of economies of scale. C) The monopolistically competitive firms enjoy a greater market power than a monopolist. D) Firms tend to locate near each other in order to minimize total travel costs for consumers. E) The firms end up charging same prices for their individual products. MR: Marginal revenue curve
ATC: Average total cost curve
MC: Marginal cost curve
-Which of the following is true of the model of monopolistic competition?


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