A major difference between monopolistic competition and perfect competition is
A)the number of sellers in the markets.
B)the degree by which the market demand curves slope downwards.
C)that products are not standardized in monopolistic competition unlike in perfect competition.
D)the barriers to entry in the two markets.

Question

Quizplus · Accepted Answer

In monopolistic competition, products are differentiated or not standardized, whereas in perfect competition, products are identical. The other options may be similar in both markets or not significant enough to be a major difference.

A Major Difference Between Monopolistic Competition and Perfect Competition Is