The Feature That Distinguishes Monopolistic Competition from Monopolies and Oligopolies

question 72

Multiple Choice

The feature that distinguishes monopolistic competition from monopolies and oligopolies is that monopolistically competitive firms

• A) cannot influence market price by virtue of their size alone.
• B) benefit from barriers to entry.
• C) are price takers.
• D) do not have price as a decision variable.

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Definitions:

Orbital

A mathematical formula that characterizes the wave-patterns of a single electron or an electron duo within an atom.

Aromatic

Refers to chemicals that contain benzene rings, or similar ring structures, which are stable and have distinctive smells.

Antiaromatic

A term describing cyclic compounds that are unstable due to conjugated pi electrons disrupting the molecule’s planarity or symmetry.

Nonaromatic

Refers to compounds that do not have a conjugated system of electrons typical of aromatic compounds, lacking the distinctive stability and ring structure of benzene.