Q41. One reason firms in monopolistic competition can charge different prices is

Question

Q41. One reason firms in monopolistic competition can charge different prices is that their products are
   a. identical
   b. similar
   c. differentiated
   d. guaranteed

Q42. Under conditions of monopolistic competition, a firm maximizes profits where
   a. MR equals AR
   b. MR equals AVC
   c. AR equals ATC
   d. MR equals MC

Q43. When one firm lowers its price, its gain in sales at the expense of other firms is known as
   a. administered sales
   b. the substitution effect
   c. the collusive effect
   d. product differentiation

Q44. In an oligopoly, the pricing policy of each firm is independent of that of other firms.
   a. true
   b. false

Q45. Many economists believe that increases in the minimum wage tend to create a labor surplus.
   a. true
   b. false

Explanation / Answer

ans 41

c. differentiated

ans 42

d. MR equals MC

ans 43

b. the substitution effect

ans 44

b. false

ans 45

a. true

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.