If a Firm in Monopolistic Competition Is Making an Economic

question 75

Multiple Choice

If a firm in monopolistic competition is making an economic profit,

• A) it is in the long run.
• B) other firms can enter the market.
• C) it can do so because it is "monopolistic" and other firms will have a hard time competing with it.
• D) its average cost must exceed its marginal cost.
• E) The question errs because firms in monopolistic competition cannot make an economic profit.

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Definitions:

Secondary Learning

The process of acquiring knowledge or skills that builds upon or derives from previously learned primary concepts or abilities.

Social Learning Theory

A theory that proposes learning occurs in a social context and that people learn from one another through observation, imitation, and modeling.

Traditional Behaviorism

A theory of learning based on the idea that all behaviors are acquired through conditioning without considering thoughts or feelings.

Neuropsychology

The study of the relationship between brain function and behavior, including the effects of brain injuries and diseases.