Which of the Following Statements Is True

question 72

Multiple Choice

Which of the following statements is true?

• A) An assumption of monopolistic competition is that firms can differentiate their products.
• B) An assumption of perfect competition is that firms can differentiate their products.
• C) Monopolistic competition is not subject to free entry and exit.
• D) An assumption of monopolistic competition is that there are only a few large firms in the industry.

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Definitions:

Health Insurance

A form of insurance coverage that pays for an individual's or group's medical and surgical expenses or reimburses losses from sickness.

Noncontingent Basis

A situation or condition not dependent on certain events, conditions, or actions in order to occur or be valid.

E.E.O.

Equal Employment Opportunity, a policy ensuring all individuals have equal chances for employment, regardless of gender, age, race, religion, or other non-merit factors.

Unemployment Compensation

Financial assistance provided to individuals who have lost their job and meet certain eligibility requirements.