Which of the following is a primary way firms in the four market structures differ from one another?
A) Each firm's control over price differs from one market structure to the next.
B) The profit-maximizing rule is different from one market structure to the next.
C) Firms in some market structures can earn excess profits over the short run while firms in other market structures cannot.
D) Pure competitors' short-run costs are affected by the Law of Diminishing Returns while short-run costs of sellers in the other market structures are not.

Question

Quizplus · Accepted Answer

Each firm's control over price varies significantly across different market structures, such as perfect competition, monopolistic competition, oligopoly, and monopoly, defining a primary way these structures differ.

Which of the Following Is a Primary Way Firms in the Four