In Markets Characterized by Monopolistic Competition

Multiple Choice

In markets characterized by monopolistic competition,

A) a large number of relatively small firms sell a differentiated product.
B) a small number of relatively large firms sell a standardized product.
C) entry into the market is relatively easy so that profit in the long run is zero.
D) entry into the market is restricted so that profit may be positive in the long run.
E) both a and c