For a Firm in Monopolistic Competition,innovation and Product Development Are

question 42

Multiple Choice

For a firm in monopolistic competition,innovation and product development are

• A) senseless because economic profit is always zero in the long run.
• B) necessary in order to have a chance of making at least a short-run economic profit.
• C) inconsequential because each firm produces a different product.
• D) necessary to allow new firms to enter.
• E) uncommon because other firms already produce similar products.

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Definitions:

Habitat Destruction

The process by which natural habitat is rendered unable to support the species present, leading to reduced biodiversity.

Commercial Harvesting

The large-scale collection of resources from nature, such as fish or timber, for commercial purposes.

Habitat Fragmentation

The division of habitats that formerly occupied large, unbroken areas into smaller pieces by roads, fields, cities, and other human land-transforming activities.

Specialized Feeding

The adoption of unique feeding strategies and mechanisms by certain organisms to suit their environmental conditions and nutritional requirements.