The long-run equilibrium outcomes in monopolistic competition and perfect competition are similar, because in both market structures :
A. The efficient output level will be produced in the long run.
B. Firms will be producing at minimum average cost.
C. Firms will only earn a normal profit.
D. Firms realize all economies of scale.
Answer:C
The long-run equilibrium outcomes in monopolistic competition and perfect competition are similar, because in both market structures :
A. The efficient output level will be produced in the long run. B. Firms will be producing at minimum average cost. C. Firms will only earn a normal profit. D. Firms realize all economies of scale.