Author Question: In monopolistic competition, an increase in a firm's advertising A) has no effect on its average ... (Read 73 times)

genevieve1028 · **on:** Jun 29, 2018

In monopolistic competition, an increase in a firm's advertising

A) has no effect on its average cost curves.
B) has no effect on demand.
C) increases the firm's average total cost.
D) increases the firm's marginal cost.

Question 2

Using the above figure, in the absence of any government intervention, the number of tons of paper produced will be

A) 60 million tons.
B) 80 million tons.
C) 100 million tons.
D) 120 million tons.