The best answer is:
C. low barriers to entry
Monopolistic competition is characterized by many firms competing in the market, products that are differentiated (not identical), and relatively low barriers to entry for new firms.
Read each question and choose the best answer.
Which of the following is a characteristic of monopolistic competition?
A. small number of firms
B. high start up costs
C. low barriers to entry
D. identical products
1 answer
1 answer