It is clear from the theory of monopolistic competition that ...

[misspop]

It is clear from the theory of monopolistic competition that product development is not pushed to its efficient level. This statement is
 
  A) false because there is so much product differentiation in monopolistic competition.
  B) true because there is little incentive to innovate in monopolistic competition.
  C) false because there are so many wasteful innovations in monopolistic competition that are merely cosmetic.
  D) true because price exceeds marginal revenue in monopolistic competition.

Question 2

Left unregulated, the equilibrium amount produced in the market described in the table above is
 
  A) 550 units.
  B) 600 units.
  C) 650 units.
  D) 700 units.

[taylorsonier]

Answer to Question 1

D

Answer to Question 2

C

[misspop]

Thanks for the timely response, appreciate it

[aliotak]

Great answer, keep it coming