A major difference between monopoly and monopolistic competition is
A)One maximizes profits by setting MR equal to MC,and the other does not.
B)The number of firms in the market.
C)One type of firm has market power,and the other does not.
D)One has a downward-sloping demand curve,and the other does not.

Question

Quizplus · Accepted Answer

Monopolistic competition is characterized by many firms in the market, unlike a monopoly, which is defined by a single firm dominating the market.

A Major Difference Between Monopoly and Monopolistic Competition Is