Which of the following is true with regard to monopolistically competitive firms scale of production and pricing decisions Monopolistically competitive firms produce ?

With excess capacity and charge a price equal to marginal cost

at the efficient scale and charge a price equal to marginal cost

at the efficient scale and charge a price above marginal cost

With excess capacity and charge a price above marginal cost

Which of the following is true with regard to monopolistically competi

1.	Which of the following is true with regard to monopolistically competitive firms scale of production and pricing decisions Monopolistically competitive firms produce ?
A.	at the efficient scale and charge a price equal to marginal cost
B.	at the efficient scale and charge a price above marginal cost
C.	With excess capacity and charge a price above marginal cost
D.	With excess capacity and charge a price equal to marginal cost
Answer» D. With excess capacity and charge a price equal to marginal cost