Which of the following features is common to both perfectly competitive markets and monopolistically competitive markets? Question 66 options: Firms produce homogeneous goods. Long-run profits are zero. Prices are above marginal costs in the long run. Prices are equal to marginal costs in the long run.
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Step 1: In both perfectly competitive markets and monopolistically competitive markets, firms produce differentiated goods, meaning that the goods are not homogeneous. Show more…
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