The demand curve faced by the a monopolistically competitive firm is very elastic if the degree of product differentiation is

Related MCQs

• Assertion (A) Many oligopolistic industries exhibit an appreciable degree of Price rigidity or stabilityReason (R) Oligopolists face a demand curve that is highly elastic for price increases and less elastic for price reductions
• Increase or decrease in the level of production by a monopolistically competitive firm have ------- impact on price and output decisions of other firms
• A monopolistically competitive market is distinguished from perfect competition by the fact that
• Monopolistically competitive firms
• Free entry into monopolistically competitive market ensures that all firms will produce at the lowest point of LAC
• Under monopolistic competition, the demand curve of the product of an individual firm depends on the nature and prices of close substitutes
• When demand curve is elastic, MR is
• The short-run supply curve of a perfectly competitive firm is given by
• The supply curve of the input that a firm faces under a perfectly competitive market is
• The supply curve of an input that a firm faces under an imperfectly competitive market is