A Market Structure in Which There Are Many Firms Selling

question 361

Multiple Choice

A market structure in which there are many firms selling products that are similar but not identical is known as

• A)oligopoly.
• B)monopoly.
• C)monopolistic competition.
• D)perfect competition.

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Definitions:

Perfectly Competitive Markets

Markets in which there are many buyers and sellers, the products are homogeneous, and there are no barriers to entry or exit.

Nash Equilibrium

A concept in game theory where no player can benefit by changing strategies while the other players keep theirs unchanged.

Oligopoly Market

A market structure characterized by a few firms controlling the majority of the market share, leading to limited competition.

Profit Maximizers

Entities or persons striving to maximize their earnings through their activities.