25. A monopolistically competitive firm maximizes profits when it
A. produces the quantity at which marginal cost equals marginal revenue and sets the price equal to the marginal revenue.
B. produces the quantity at which marginal cost equals marginal revenue and sets the price equal to the marginal cost.
C. produces the quantity at which marginal cost equals the market price.
D. produces the quantity at which marginal cost equals marginal revenue and uses the demand curve to determine the market price.
28. Informational advertising is mostly used for
A. a search good.
B. a logo good
. C. an experience good
. D. a persuasive good.
38. Monopolistically competitive markets and oligopolies are similar in that
A. nonprice competition is a tool used.
B. the number of firms is identical.
C. the kinked demand curve can be used to analyze the firms' pricing decisions.
D. there is mutual interdependence amongst the firms.
41. A firm that has taken advantage of economies of scale and expanded to become the only producer in the market is
A. an oligopolist.
B. a cartel.
C. a natural monopoly.
D. a monopolistic competitor.
46.How does a monopoly maximize profits? What price does itcharge?
48.What is meant by the concentration of an industry? How is concentration measured? What are likely causes of highconcentration?