In Which Market Structure Is There a Large Number of Firms

question 185

Multiple Choice

In which market structure is there a large number of firms producing slightly differentiated products?

• A) monopoly
• B) oligopoly
• C) only perfect competition
• D) only monopolistic competition
• E) either perfect competition or monopolistic competition

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Definitions:

Income Distribution

How the total earnings are distributed among people or families within an economic system.

MRP Curve

The Marginal Revenue Product curve, showing how the additional revenue from selling one more unit of a product changes with the quantity of the product sold.

Labor Demand Curve

A graphical representation of the quantity of labor employers are willing to hire at each possible wage rate, holding all other factors constant.

Elastic Demand

A situation in which the demand for a product is sensitive to price changes, with significant changes in demand occurring with small changes in price.