Suppose the carwash market is monopolistically competitive and that businesses in this market are currently earning positiveeconomic profits. In the long run, the demand for an individual car wash business willthe market , which will cause economic profits toas more carwash businesses enterSelect an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer.afall; risefall; fall to zerorise; fall to zerodrise; rise

In a monopolistic competitive market there are large number of firms producing similar but not…

uppose the carwash market is monopolistically competitive and that businesses in this market are currently earning positive conomic profits. In the long run, the demand for an individual car wash business will he market , which will cause economic profits to , as more carwash businesses enter lect an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a fall; rise b fall; fall to zero c rise; fall to zero d rise; rise

uppose the carwash market is monopolistically competitive and that businesses in this market are currently earning positive conomic profits. In the long run, the demand for an individual car wash business will he market , which will cause economic profits to , as more carwash businesses enter lect an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a fall; rise b fall; fall to zero c rise; fall to zero d rise; rise

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter14: Monopolistic Competition And Product Differentiation

Section: Chapter Questions

Problem 10P

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Study Tools ins ess Tips ss Tips PRICE (Dellars per engine) 288 RSS #RR 100 50 30 20 10 MO 0 0 10 ATC MR Demand 20 30 40 50 70 DO 90 QUANTITY (Thousands of engines) 100 Mon Comp Outcome Min Unt Cost Decause this market is a monopolistically competitive market, you can tell that it is in long-run equilibrum by the fact that optimal quantity. Furthermore, a monopolistically competitive firm's average total cost in long-run equilibrium is average total cost. at the the minimum
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