One Way in Which Monopolistic Competition Differs from Oligopoly Is

question 108

Multiple Choice

One way in which monopolistic competition differs from oligopoly is that

• A)there are no barriers to entry in oligopolies.
• B)in oligopoly markets there are only a few sellers.
• C)all firms in an oligopoly eventually earn zero economic profits.
• D)strategic interactions between firms are rare in oligopolies.

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Definitions:

Stirrup

A light frame or ring that holds the foot of a rider, attached to the saddle in horseback riding.

Cochlea

A spiral-shaped cavity of the inner ear that plays a key role in the sense of hearing.

Retina

The light-sensitive layer of tissue at the back of the inner eye, which converts light images into electrical signals sent to the brain.

Pinna

The visible part of the ear that is outside the head, responsible for collecting sound waves and directing them into the ear canal.