All of the Following Are Assumptions of Monopolistic Competition EXCEPT

question 117

Multiple Choice

All of the following are assumptions of monopolistic competition EXCEPT

• A) many buyers and sellers.
• B) homogeneous product.
• C) easy entry of new firms in the long run.
• D) profit-maximizing behavior.

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Definitions:

Foreign Aid

Money, food, or other resources given or lent by one country to another.

Industrialization

The process by which an economy is transformed from primarily agricultural to one based on the manufacturing of goods. Individual manual labor is often replaced by mechanized mass production.

Glocalization

The simultaneous homogenization of some aspects of life and the strengthening of some localdifferences under the impact ofglobalization

Neoliberal Globalization

A policy that promotes private control of industry, minimal government interference in the running of the economy, the removal of taxes, tariffs, and restrictive regulations that discourage the international buying and selling of goods and services, and the encouragement of foreign investment.