A firm in monopolistic competition advertised its product. What will be the impact of the advertisement?

the market demand curve shifts to the right

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

the market demand curve shifts to the left

No worries! We‘ve got your back. Try BYJU‘S free classes today!

the market supply curve shifts to the right

No worries! We‘ve got your back. Try BYJU‘S free classes today!

the market supply curve shifts to the left

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A
the market demand curve shifts to the right

As a result of advertising, the demand for the product increases, i.e. the demand curve shifts to the right.

Suggest Corrections

Similar questions

If at the market equilibrium, the supply is a vertical line and the downward sloping demand curve shifts to the right, then:

The long-run average costs at the efficient scale of production for 6 firms in a market are given below.

$\begin{matrix} F i r m & L R A C_{m i n} A & 10 B & 15 C & 13 D & 18 E & 17 F & 12 \end{matrix}$

The market price fell from Rs 20 to Rs 15. As a result ________

Join BYJU'S Learning Program