Which of the Following Is Not a Characteristic of Monopolistic

question 20

Multiple Choice

Which of the following is not a characteristic of monopolistic competition?

• A) a downward-sloping demand curve
• B) differentiated products
• C) standardized products
• D) excess capacity

---

Definitions:

Economic Signals

Indicators or information that guide economic agents in decision-making by reflecting changes in the economy or market conditions.

Consumers

Individuals or groups that purchase goods and services for personal use, not for manufacture or resale.

Efficiency

The state or quality of being capable of producing desired results with a minimum expenditure of energy, time, money, or materials.

Total Surplus

The sum of consumer surplus and producer surplus, representing the total net benefits to society from the production and consumption of goods or services.