The Existence of a Large Number of Firms in Monopolistic

Multiple Choice

The existence of a large number of firms in monopolistic competition

A) means that each firm has a small market share.
B) makes it possible for each firm's price to deviate by a large amount from the average price of the other firms.
C) means that a firm must pay attention to the behaviour of all of its competitors.
D) makes collusion highly likely.
E) means that each firm is a price taker.