If a firm were to set its price by determining the average cost of an item and then adding some percentage markup to the cost, it would be practicing cost-plus pricing.

A cartel attempts to increase profits in the industry by limiting the production of each member.

The number of firms in an oligopoly industry must be small enough that firms are interdependent in decision making.

Unlike perfectly competitive firms, monopolistically competitive firms are facing upward-sloping demand curve.

If a firm can limit competition, it will likely be able to charge higher prices.

If a firm set its price by determining the average cost of an item and then adding some percentage markup to the cost, it would be practicing cost-plus pricing.

Sometimes offering no guarantee on a product signals to consumers that the product is of lower quality than it really is.

Creative destruction benefits society.

Any time firms in monopolistic competition are earning above-normal profit,

Consumers are willing to pay a higher price for a brand-name product as opposed to a generic product because