Monopolistic competition differs from perfect competition because in monopolistically competitive markets A. each of the sellers offers a somewhat different product. B. strategic interactions between firms are important. C. all firms can eventually earn economic profits. D. there are barriers to entry.

Option A

Monopolistic competition differs from perfect competition because in monopolistically competitive markets  each of the sellers offers a somewhat different product.

Explanation:

Monopolistic competition transpires when an industry has numerous firms contributing products that are alike but not the same. Firms in monopolistic competition typically attempt to discriminate their product to obtain to achieve above-market returns.

A primary focus of the monopolistic competition is that products are differentiated. Each firm offers autonomous choices about cost and output, based on its goods, its market, and its prices of making. Firms in monopolistic competition manage to promote profoundly because diverse firms require to recognize broadly alike products.

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