Imperfectly competitive markets include:
A) a category where many firms sell identical products.
B) an industry with a few firms, producing a similar product, and in some cases an identical product.
C) a category where P = MR = MC is the profit maximizing condition.
D) monopolies.

Question

Quizplus · Accepted Answer

Imperfectly competitive markets refer to any market that doesn't meet the standard of perfect competition, meaning that there are few sellers and/or buyers, and market power is imperfectly distributed. Option B accurately describes this as an industry with a few firms producing a similar or identical product. Option A describes perfect competition, C describes any profit-maximizing condition (including perfect competition), and D only refers to a specific type of imperfect competition.

Imperfectly Competitive Markets Include