Monopoly markets are more competitive than markets with monopolistic competition.

Question

Quizplus · Accepted Answer

Monopoly markets are characterized by a single seller with significant control over price and supply, resulting in limited competition. On the other hand, monopolistic competition involves many small firms competing against each other while offering slightly different products or services. This leads to more competition, as consumers have a greater choice of goods and services at different prices. Therefore, monopolistic competition is considered to be more competitive than monopoly markets.

Monopoly Markets Are More Competitive Than Markets with Monopolistic Competition