« previous next »

Author Question: What causes new firms to enter into a monopolistically competitive market structure? What will be ... (Read 164 times)

123654777

  • Hero Member
  • *****
  • Posts: 585
on: Jun 29, 2018
What causes new firms to enter into a monopolistically competitive market structure?
 
  What will be an ideal response?

Question 2

In the short run, when a firm is about to begin production it pays only:
 
  A) variable costs.
  B) opportunity costs.
  C) sunk costs.
  D) fixed costs.


jsm54321

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jun 29, 2018
Answer to Question 1

Positive economic profits earned by the existing firms in the short run attract new firms to enter a monopolistically competitive market.

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Malaria mortality rates are falling. Increased malaria prevention and control measures have greatly improved these rates. Since 2000, malaria mortality rates have fallen globally by 60% among all age groups, and by 65% among children under age 5.

Did you know?

Each year in the United States, there are approximately six million pregnancies. This means that at any one time, about 4% of women in the United States are pregnant.

Did you know?

GI conditions that will keep you out of the U.S. armed services include ulcers, varices, fistulas, esophagitis, gastritis, congenital abnormalities, inflammatory bowel disease, enteritis, colitis, proctitis, duodenal diverticula, malabsorption syndromes, hepatitis, cirrhosis, cysts, abscesses, pancreatitis, polyps, certain hemorrhoids, splenomegaly, hernias, recent abdominal surgery, GI bypass or stomach stapling, and artificial GI openings.

Did you know?

A seasonal flu vaccine is the best way to reduce the chances you will get seasonal influenza and spread it to others.

Did you know?

If you could remove all of your skin, it would weigh up to 5 pounds.

Prokaryotic cell structure Prokaryotic cell structure
Platelet structure. Platelet structure.
Tertiary and quaternary levels of structure Tertiary and quaternary levels of structure
Structure of the E. coli Tus protein, complexed with double-stranded DNA Structure of the E. coli Tus protein, complexed with double-stranded DNA
Structure and function of human teeth. Structure and function of human teeth.
Mitochondrial structure and function Mitochondrial structure and function
Video: Structure of Amino Acid, Peptide Bonds & Polypeptides

For a complete list of videos, visit our video library