Which of the following markets most likely features monopolistic competition?(1 point)

Responses

A market for oil with three major suppliers.
A market for oil with three major suppliers.

A food court in a shopping mall with several related but differentiated products.
A food court in a shopping mall with several related but differentiated products.

A cable television market with a single-service provider.
A cable television market with a single-service provider.

A market for corn with thousands of suppliers.

1 answer

The market that most likely features monopolistic competition is:

A food court in a shopping mall with several related but differentiated products.

This option exemplifies monopolistic competition because it consists of many sellers offering products that are similar but differentiated (e.g., different types of food), allowing them to have some degree of market power. In contrast, the other options either reflect oligopoly (e.g., a market for oil with three major suppliers) or monopoly (e.g., a cable television market with a single-service provider). The market for corn could also indicate perfect competition due to many suppliers offering a homogeneous product.