A. monopolistically competitive firms charge prices equal to their marginal costs just like monopolists
B. a monopolistically competitive firms faces a downward-sloping demand curve for its differentiated product and so does a monopolist
C. monopolistically competitive markets have free entry and exit just like a monopolistic market
D. monopolistically competitive firms produce beyond their efficient scale and so do monopolists
Correct Answer: a monopolistically competitive firms faces a downward-sloping demand curve for its differentiated product and so does a monopolist ✔
Last Updated: June 18, 2019