a. A simple monopoly firms always earns super normal profit

b. Sweezy’s kinked demand curve model is the best known model explaining relatively more satisfactory behaviour of oligopoly firm for price rigidity

c. A perfectly competitive firm is price – taker

d. Firms under monopolistic competition earn only normal profits Choose the correct option from those given below


  • A

    a) and d)  


  • B

    b) and d) 


  • C

    b) and c) 


  • D

    a) and c)