Advertisements
Advertisements
Question
Give two reasons why monopolistic competition is the most realistic form of a market.
Solution
Monopolistic competition is the most realistic form of market because:
- Most of the products sold in the market have close substitutes.
- The sellers of products are in large numbers.
RELATED QUESTIONS
Which of the following is a feature of monopolistic competition?
Group equilibrium is analysed in ______.
In monopolistic competition, the essential feature is ______.
Monopolistic competition is a form of ______.
Which of the following involves maximum exploitation of consumers?
Explain price and output determined under monopolistic competition with help of the diagram.
Explain any three features of a monopolistic market.
The following diagram represents the demand curve of a firm under ______.
Which of the following market types has a large number of firms that sell similar but slightly different products?
Under which market form firm is price taker?
