Question

Monopolistic competition means that Group of answer choices firms differentiate their output, which makes them price makers, but barriers to entry are low or nonexistent. firms are in a monopoly, but they compete. oligopoly firms collude until they become monopolies. firms are in perfect competition, but they collude similar to monopolies. firms have downward-sloping demand.

Answer 1

firms differentiate their output, which makes them price makers,but barriers to entry are low or non-existent

Step-by-step explanation:

Markets that are imperfectly competitive are usually monopolistic or oligopoly.

Monopolistic Competition is simply a market with many firms or organizations that sell goods and services that are similar, but slightly different. Its products have alternative or substitutes that are close but not perfect.

In a monopolistically competitive market, firms can behave like monopolies in the short run, including by using market power to give profit.