Which of the Following Is True in Both Perfect Competition

question 108

Multiple Choice

Which of the following is true in both perfect competition and monopoly?

• A)Firms produce a differentiated product.
• B)Firms cannot earn economic profit in the long run.
• C)Individual firms have no ability to control the price of their output but must accept the market price.
• D)Firms go out of business in the long run if total revenue cannot cover total cost.
• E)Firms can earn economic profit in the long run.

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Definitions:

ACE Wrap

A brand of elastic bandage typically used to provide support and reduce swelling following an injury.

Ankle Brace

A supportive garment or device worn around the ankle to protect it or to provide stability after an injury.

Compression

To exert force against, press.

Partial-Thickness Burn

A Partial-Thickness Burn is a type of burn affecting both the epidermis and certain parts of the dermis, causing pain, swelling, and blistering.