A Monopolistically Competitive Firm Is Inefficient Because the Firm

Multiple Choice

A monopolistically competitive firm is inefficient because the firm

A) is producing at an output where marginal cost equals price.
B) is not maximising its profits.
C) produces a product identical to that of its competitors.
D) makes positive economic profit in the long run.
E) produces at an output level where average total cost is not at its minimum.