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Hey, could someone help me with this multiple choice question? Question 14 (1 point) Which of the following describes what is going on in Eigucc_l.
Hey, could someone help me with this multiple choice question?
Question 14 (1 point) Which of the following describes what is going on in Eigucc_l. where S is the size of the market, II(S x b) is the slope of the demand curve and n is the number of firms market: C) e larger market allowed by free trade leads to greater profits for all monopolistically-competitive firms with positive effects on efficiency. Free trade leads to an intensification of competitive pressures within the same o market size, driving down revenues and profits for all firms. C) I rger market and intensified competition with free trade makes some firms more profitable while eliminating others, with net efficiency gains for the whole system. The more competitive market caused by the freeing of trade leads to large net o efficiency gains, but drives down profits - even for the most efficient firms. C) e larger market created by free trade allows a greater number of firms to survive in spite of their asymmetric cost curves.
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