4. A conceptual difference between a firm operating in a perfectly competitive market and a firm operating in a monopolistically competitive market is that: a) In the long run, the firm operating in a perfectly competitive market makes smaller profits than the firm operating in a monopolistically competitive one. b) If economic profits are being made, the firm in the perfectly competitive market will face entry of new firms whereas the firm in the monopolistically competitive one will not. c) None of the other answers. d) The firm in the perfectly competitive market faces a horizontal demand curve, whereas the firm in the monopolistically competitive market faces a downward sloping demand curve. e) In the long run equilibrium, the firm in the perfectly competitive market is onerating where

4. A conceptual difference between a firm operating in a perfectly competitive market and a firm operating in a monopolistically competitive market is that: a) In the long run, the firm operating in a perfectly competitive market makes smaller profits than the firm operating in a monopolistically competitive one. b) If economic profits are being made, the firm in the perfectly competitive market will face entry of new firms whereas the firm in the monopolistically competitive one will not. c) None of the other answers. d) The firm in the perfectly competitive market faces a horizontal demand curve, whereas the firm in the monopolistically competitive market faces a downward sloping demand curve. e) In the long run equilibrium, the firm in the perfectly competitive market is onerating where

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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