Changes

:In monopolistic competition there are almost no barriers of entry. A new firm can easily enter the market if products were selling above average total cost.  If they charged more than ATC they would be undersold by the competition, and if they charged less then they would loss money overall.

:In monopolistic competition there are almost no barriers of entry. A new firm can easily enter the market if products were selling above average total cost.  If they charged more than ATC they would be undersold by the competition, and if they charged less then they would loss money overall.

10.  Economics is sometimes called the “dismal science” because economists predicted population to grow faster than the food supply, marginal returns to diminish, and profits to vanish.  But, in fact, there is an abundance of food and profits have not vanished.  Why is economics not so dismal after all?

10.  Economics is sometimes called the “dismal science” because economists predicted population to grow faster than the food supply, marginal returns to diminish, and profits to vanish.  But, in fact, there is an abundance of food and profits have not vanished.  Why is economics not so dismal after all?