Perfect Competition and Monopolistic Competition Are Similar in That Both

question 111

Multiple Choice

Perfect competition and monopolistic competition are similar in that both market structures include

• A) price-taking behavior by firms.
• B) a homogeneous product.
• C) no barriers to entry.
• D) very few firms.

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Definitions:

Appeal To Majority

A fallacious argument that claims a proposition to be true because the majority of people believe it to be true.

Fallacy

An error in reasoning that results in an invalid argument or a misconception.

Majority Opinion

The judicial opinion agreed to by more than half of the members of a court, setting forth the decision in a case and an explanation of the rationale behind the court's decision.

Appeal To Emotion

A logical fallacy that uses the manipulation of emotions rather than valid logic to persuade.