Each of the statements below describes a characteristic of the following market structures: perfect competition, monopolistic competition, oligopoly, and monopoly.
Identify which market structure displays each of the characteristics. (There may be more than one.)
a. Each firm faces a downward-sloping demand curve.
b. Price is greater than marginal revenue.
c. Each firm produces at MES in long-run equilibrium.
d. Firms earn profit in long-run equilibrium.
e. Firms produce a homogeneous product.
f. Firms advertise their product.
g. Each firm produces output where MC = MR.
h. Each firm produces output where P = MC.
i. There is free entry to the industry.
j. Firms produce a differentiated product.