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Question 4
A) Monopolistically competitive markets and perfectly competitive markets share some similarities but differ in a number of ways. One such difference between the two is that monopolistically competitive firms .(1 point)
face some barriers to entry
face no barriers to entry
feature homogeneous products
feature differentiated products
Question 5
A) A health-care firm is looking to expand to international markets in an effort to increase profits. One potential location has only a few competing health-care providers, each holding a significant percentage of market share. Licensing requirements are high, but the firm may consider establishing a presence in the new location to enjoy .(1 point)
the high prices that arise from monoplistic competition
the high prices that arise from perfect competition
the horizontal demand curves
the downward-sloping demand curves
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Question 4
A) Monopolistically competitive markets and perfectly competitive markets share some si...
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