Which of the following is the least likely example of a monopolistically competitive firm?
A)A barbershop
B)A restaurant
C)An electric company
D)A brewer
E)A clothing store

Question

Quizplus · Accepted Answer

An electric company is less likely to be an example of a monopolistically competitive firm because they typically have high barriers to entry (such as needing large amounts of capital to build infrastructure) and often operate in regulated markets, which limits competition. The other choices are all more likely to be examples of monopolistically competitive firms as they typically have low barriers to entry, offer differentiated products, and face some degree of competition.

Which of the Following Is the Least Likely Example of a Monopolistically