)Solve all three parts correctly explanation Part a) Firms have market power in: Select one: A.monopolistically competitive markets and monopolistic markets. B.monopolistically competitive markets. C.perfectly competitive markets. D.monopolistic markets. Part b) If a monopolistically competitive firm is producing 1,200 units of output and the marginal revenue from producing the 1,200th unit of output is $5 and the marginal cost is $4.50, which of the following is true? Select one: A.The firm should increase production to maximize profit. B.The firm should decrease production to maximize profit. C.The firm maximizing profit. D.The difference between marginal revenue and marginal cost (MR - MC) at the 1,200th unit is negative. Part c) All of the following are characteristics of monopolistic competition except which one? Select one: A.no barriers to entry B.many sellers C.firms produce homogeneous products D.firms produce differentiated products
Q)Solve all three parts correctly explanation
Part a)
Firms have market power in:
Select one:
A.monopolistically competitive markets and monopolistic markets.
B.monopolistically competitive markets.
C.perfectly competitive markets.
D.monopolistic markets.
Part b)
If a monopolistically competitive firm is producing 1,200 units of output and the marginal revenue from producing the 1,200th unit of output is $5 and the marginal cost is $4.50, which of the following is true?
Select one:
A.The firm should increase production to maximize profit.
B.The firm should decrease production to maximize profit.
C.The firm maximizing profit.
D.The difference between marginal revenue and marginal cost (MR - MC) at the 1,200th unit is negative.
Part c)
All of the following are characteristics of
Select one:
A.no barriers to entry
B.many sellers
C.firms produce homogeneous products
D.firms produce differentiated products
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