Temporary discounts offered to customers by competitive retailers ...

[hubes95]

Temporary discounts offered to customers by competitive retailers usually reflect:
 a. output rationing.
  b. a rise in market demand.
  c. price discrimination.
  d. a fall in input prices.

Question 2

As new firms enter a monopolistically competitive market, profits of existing firms ____ and product diversity in the market ____.
 a. decline; decreases
  b. rise; decreases
 c. rise; increases
 d. decline; increases

[medine]

Answer to Question 1

C

Answer to Question 2

d