What is monopolistic competition characterized by?
A) too few firms, each producing too much
B) too many firms, each producing too much
C) too few firms, each producing too little
D) too many firms, each producing too little

Question

Quizplus · Accepted Answer

Monopolistic competition is characterized by many firms, each producing differentiated products, which often leads to each firm having some control over its price but producing less than what would be produced in a perfectly competitive market.

What Is Monopolistic Competition Characterized By