Check each of the following that describe Monopolistic Competition. identical pr
ID: 1113699 • Letter: C
Question
Check each of the following that describe Monopolistic Competition.
identical products
product differentiation
non-price competition
significant barriers to entry and exit
a small (handfull) of competing firms
many firms competing
price taking
Check each of the following that apply to oligopolies.
MR curve will break into two segments because of the kinked demand curve
firms will be assured of frequent price changes and increased competition in order to make an expected return
Firms that require a large capital investment benefit
there is neither government control nor efficienc
MR curve will break into two segments because of the kinked demand curve
firms will be assured of frequent price changes and increased competition in order to make an expected return
Firms that require a large capital investment benefit
there is neither government control nor efficienc
Explanation / Answer
In monopolistc competition, products are differentiated,many firms competing and freedom of entry and exit.
In Oligopoly when there is kinked demand curve which is given by paul Sweezy can break MR into two segments.