In the Long Run

question 490

Multiple Choice

In the long run,

• A)monopolistically competitive firms earn a higher profit than perfectly competitive firms because monopolistically competitive firms have some monopoly power.
• B)monopolistically competitive firms produce a higher output than perfectly competitive firms because competition drives the perfectly competitive firms' output down.
• C)both monopolistically competitive and perfectly competitive firms produce where P = MC.
• D)both monopolistically competitive and perfectly competitive firms produce where P = ATC.

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Definitions:

Poor

A socioeconomic status characterized by a lack of financial resources and access to basic life necessities.

Meth

A powerful, addictive stimulant drug, also known as methamphetamine, that affects the central nervous system.

Powder Cocaine

A fine, white crystalline drug obtained from coca leaves, often snorted, that can cause euphoria and addiction; it's contrasted with crack cocaine, a more potent form that's smoked.

Poor Person's Drug

A term referring to inexpensive addictive substances that are more accessible to individuals of lower socioeconomic status.