A characteristic of monopolistic competition is that each firm ...

[saliriagwu]

A characteristic of monopolistic competition is that each firm
 
  A) faces perfectly elastic demand.
  B) faces a downward-sloping demand curve.
  C) has a perfectly elastic supply.
  D) has a perfectly inelastic supply.

Question 2

Suppose we are considering the relationship between two variables y and x. y is measured on the y-axis and x is measured on the x-axis, and the relationship between then is a straight line. Suppose that the slope of the line is greater than 1.
 
  This slope means that A) a change in x is associated with a bigger change in y.
  B) a change in x is associated with a smaller change in y.
  C) a change in x is associated with no change in y.
  D) a change in x is associated with an equal change in y.

[iman]

Answer to Question 1

B

Answer to Question 2

A