?

AP® Microeconomics

Free Version

Upgrade subject to access all content

Moderate

Benefits of Product Innovation

APMICR-KCCNRX

Monopolistic competitors benefit when they introduce new or improved patent-protected products by

A

encouraging imitators to enter the market.

B

being able to permanently increase their product price.

C

reducing the average total cost of their production.

D

eliminating competition from the market.

E

potentially earning an economic profit in the long run.