When monopolistically competitive firms advertise they hope to _________ and __________. When monopolistically competitive firms advertise they hope to _________ and __________. decrease market share; increase average total cost increase market share; increase average total cost increase market share; decrease average total cost decrease market share; decrease average total cost

WataDine is one of a city’s many restaurants that serve lunch and dinner in a monopolistically competitive market. Assume WataDine, as a typical restaurant in the city, is currently producing the profit-maximizing output level, and earns positive short-run economic profit. (a) How is monopolistic competition similar to each of the following market structures? (i) Perfect competition (ii) Monopoly (b) WataDine is currently earning short-run economic profits. Draw a correctly labeled graph for WataDine in short-run equilibrium and show each of the following. (i) The profit-maximizing quantity, labeled QM (ii) The profit-maximizing price, labeled PM (c) Given that WataDine is currently earning short-run economic profits, what will happen to each of the following in the long run? (i) WataDine's economic profit. Explain. (ii) WataDine's demand curve for its restaurant meals. (d) Assume WataDine is in long-run equilibrium. (i) Is WataDine taking advantage of its economies of scale? Explain.…

True/False I need help with the last three most

5. How do monopolistically competitive markets differ from competitive markets? If monopolistically competitive firms are making economic profits in the short run, what happens in the long run?

Economists recognize all of the following market types except ________. Select one: a. oligopolistic competition b. monopoly c. oligopolistic monopoly d. monopolistic competition e. pure competition

What are the key trade offs of imperfect competition?   Group of answer choices   1-The monopolistically competitive market structure provides powerful incentives for innovation, but they never achieve productive efficiency in the long run.   2-The monopolistically competitive market structure provides powerful incentives for innovation, but the strongest firms in a monopolistically competitive market become oligopolists.   3-The monopolistically competitive market structure fails to achieve allocative efficiency, but the firms all face perfectly elastic demand curves.   4-The monopolistically competitive market structure allows firms to achieve economic profit in the short run, but the individual firms all face perfectly elastic demand curves.

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4. Study Questions and Problems #4 Consider this statement: "Because price equals long-run average cost and profits are zero, a monopolistically competitive firm is efficient." Do you agree or disagree? Agree, because a monopolistically competitive firm produces a socially optimal output. Disagree, because a monopolistically competitive firm does not produce enough output from a socially optimal point of view. Disagree, because a monopolistically competitive firm produces too much output from a socially optimal point of view.

Practice question: 20  According to the figure above, what is the monopolistic competitor's profit-maximizing output? Group of answer choices Q3 units Q4 units Q2 units Q1 units

Under monopolistic competition, firms produce________   a: products that are somewhat differentiated. b: a unique product without close substitutes. c: It depends on the individual firm. d: identical products