In San Francisco there are many restaurants that specialize in a wide variety of cuisines.Patronage at these restaurants is influenced by factors such as tastes, price, and location.This market is
A)perfectly competitive.
B)monopolistically competitive.
C)oligopolistic.
D)monopolistic.

Question

Quizplus · Accepted Answer

This market is monopolistically competitive because there are many restaurants that offer similar but slightly differentiated products (different cuisines and flavors) and they compete on factors such as price, location, and taste preferences. However, each restaurant does have some control over their prices and output because they offer slightly different products.

In San Francisco There Are Many Restaurants That Specialize in a Wide