Of the following markets,which is most likely to be monopolistically competitive?
A)automobiles
B)corn
C)overnight package delivery
D)air travel between a small city and a larger one
E)fast food

Question

Quizplus · Accepted Answer

Fast food is most likely to be monopolistically competitive because there are numerous competitors with similar but slightly differentiated products, such as McDonald's, Burger King, and Wendy's. The other markets listed are either oligopolistic (automobiles, overnight package delivery, air travel) or perfectly competitive (corn).

Of the Following Markets,which Is Most Likely to Be Monopolistically