Author Question: In the short run, a perfectly competitive firm NEVER A) earns an economic profit. B) incurs a ... (Read 169 times)

mynx · **on:** Jun 29, 2018

In the short run, a perfectly competitive firm NEVER

A) earns an economic profit.
B) incurs a loss greater than its total fixed costs.
C) produces where MR = MC.
D) earns a normal profit.

Question 2

One difference between perfect competition and monopolistic competition is that

A) a perfectly competitive industry has fewer firms.
B) in perfect competition, firms produce slightly differentiated products.
C) monopolistic competition has barriers to entry.
D) firms in monopolistic competition face a downward-sloping demand curve.