Multiple Choice
A monopolistically competitive firm has excess capacity because in the
A) long run,average total cost exceeds minimum average total cost.
B) short run,marginal revenue exceeds marginal cost.
C) long run,it makes an economic profit.
D) short run,average total cost is less than average variable cost.
E) long run,average total cost is less than average variable cost.
Correct Answer:
Verified
Correct Answer:
Verified
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