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If We Observe a Great Deal More Advertising for Mucinex

Question 229

Multiple Choice

If we observe a great deal more advertising for Mucinex, an over-the-counter drug, than for a Grainger drill press, we can infer that


A) more money is spent on Mucinex than on Grainger drill presses.
B) the market for Mucinex is more highly differentiated than the market for Grainger drill presses.
C) Grainger has lower costs of production than Mucinex.
D) Mucinex operates in an oligopoly, while Grainger operates in a monopolistically competitive market.

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