2002, Form B, Question 1 · 15 points
Perfect versus monopolistic competition in the long run
Graph long-run equilibrium for a perfectly competitive firm and a monopolistically competitive firm with the same costs, compare their prices, outputs and profits, and judge the elasticity of each firm's demand at its output.
This exam had three free-response questions to answer in 50 minutes of writing time after a 10 minute planning period, with about half the time suggested for Question 1 and the rest split evenly between Questions 2 and 3. The current exam has 3 free-response questions in 60 minutes. The skills these questions practice still count.
Lessons this question draws on
1 Read the question
The question is College Board's, from the 2002, Form B exam. It starts on page 2 of the PDF. College Board no longer posts this exam, so it opens from the copy of College Board's PDF that the Internet Archive saved on August 12, 2022.
2 Write your answer
Answer each part the way you would on the exam, in full sentences, with your work shown. Your writing saves as you type.
3 Score it
Score your answer against College Board's scoring guidelines, one point at a time. Give yourself a point only when your answer says what the guideline asks for.
Scoring guidelines (PDF, page 2)
Question, scoring guidelines: College Board, from the Internet Archive. The title, summary are ours.