________ a large number of firms competing by making similar but slightly different products.
A) Monopoly requires
B) Perfect competition requires
C) Monopolistic competition requires
D) Oligopoly requires
E) Both perfect competition and monopolistic competition require

Question

Quizplus · Accepted Answer

Monopolistic competition requires a large number of firms competing by making similar but slightly different products. In this market structure, each firm has some degree of market power due to product differentiation, but there are still enough competitors to prevent any one firm from having a significant impact on the market.

________ a Large Number of Firms Competing by Making Similar