7. By differentiating their products, firms will be able to raise prices without losing all demand. The

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7. By differentiating their products, firms will be able to raise prices without losing all demand. The demand curve facing a monopolistic competitor is less elastic than the demand curve faced by a perfectly competitive firm but more elastic than the demand curve faced by a monopoly.

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Principles Of Microeconomics

ISBN: 9780691150093

13th Global Edition

Authors: Karl E. Case, Ray C. Fair, Sharon E. Oster

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