Which of the following characteristics of perfect competition does not apply in monopolistic competition?
A)free entry and exit
B)homogeneous products
C)numerous participants
D)perfect information

Question

Which of the following characteristics of perfect competition does not apply in monopolistic competition?
A)free entry and exit 
B)homogeneous products 
C)numerous participants 
D)perfect information

Quizplus · Accepted Answer

In monopolistic competition, products are differentiated rather than homogeneous, which is a key characteristic of perfect competition.

Which of the Following Characteristics of Perfect Competition Does Not