Which is the main difference between perfect competition and monopolistic competition?
(A) In perfect competition, the prices are set by the government.
(B) In monopolistic competition, there are fewer sellers and more buyers.
(C) In monopolistic competition, sellers can profit from the differences between their products and other products.
(D) In perfect competition, the buyer is free to buy from any seller he or she chooses.
Ans: (C) In monopolistic competition, sellers can profit from the differences between their products and other products.
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A) elastic. B) unit elastic. C) inelastic. D) cannot be determined without more information.
Interest rates and the present value of a physical or financial asset are inversely related, that is, when one increases, the other decreases
Indicate whether the statement is true or false