A Characteristic of Monopolistic Competition Is That

question 35

Multiple Choice

A characteristic of monopolistic competition is that:

• A) there are many large firms in the industry.
• B) firms produce a homogeneous product.
• C) there are few firms in the industry.
• D) firms are price makers.

---

Definitions:

Income

Money received on a regular basis from work, property, business, investment, or welfare.

Utility Function

A tool used in economics to represent a consumer's preference structure across different bundles of goods.

Budget Constraint

The limits imposed on household choices by income, wealth, and product prices.

Apples

A widely consumed fruit, known for its crispiness and variety of flavors, often used as a symbol for health and education.