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Statement (I): The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.
Statement (II): In the monopolistic competition we have many firms selling differentiated product codes.
Statement (II): In the monopolistic competition we have many firms selling differentiated product codes.
Choose the correct option from those below:
- a)Statement I is correct, Statement II is incorrect.
- b)Statement I is incorrect, Statement II is correct.
- c)Both Statement I and Statement II are correct.
- d)Both Statement I and Statement II are incorrect.
Correct answer is option 'C'. Can you explain this answer?
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Statement (I):The important difference between our assumption for mono...
Perfect Competition:
- Perfect competition is a unique form of marketplace that allows multiple companies to sell the same product or service.
- None of these firms can set a price for the product or service they are selling without losing business to other competitors.
- There are no barriers to any firm that is looking to enter or exit the market.
- The final output from all sellers is so similar that consumers cannot differentiate the product or service of one company from its competitors.
Monopolistic competition:
- Monopolistic competition definition says that it stands for an industry in which many firms service similar products which are not a perfect substitute.
- There are very low barriers to entry or exit in monopolistic competition.
- In this competition, one firm decision doesn't affect the whole industry or another firm.
- Monopolistic competition is just related to the business strategy of brand variation.
Important Points
- Products in monopolistic competition are close substitutes; the products have distinct features, such as branding or quality.
- This is unlike both a monopolistic market, where there are no substitutes for products and perfect competition, where the products are identical.
- Thus Statement I is correct.
- Under monopolistic competition, many sellers offer differentiated products—products that differ slightly but serve similar purposes.
- By making consumers aware of product differences, sellers exert some control over price.
- In an oligopoly, a few sellers supply a sizable portion of products in the market.
- Thus Statement II is also correct.
Hence, Both Statement I and Statement II are correct.
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Statement (I):The important difference between our assumption for mono...
Explanation:
Statement I:
- Monopolistic competition involves firms selling similar but not identical products. This means that there is some level of product differentiation among the firms in the market.
- In perfect competition, on the other hand, firms sell identical products, and there is no product differentiation.
Statement II:
- In monopolistic competition, there are many firms in the market, each selling a slightly different product. This product differentiation allows firms to have some control over their prices.
- The presence of differentiated product codes in monopolistic competition is a key feature that distinguishes it from perfect competition, where products are homogeneous.
Conclusion:
- Both Statement I and Statement II are correct. The presence of differentiated products in monopolistic competition is a crucial aspect of this market structure, allowing firms to have some degree of market power and control over prices.
Statement I:
- Monopolistic competition involves firms selling similar but not identical products. This means that there is some level of product differentiation among the firms in the market.
- In perfect competition, on the other hand, firms sell identical products, and there is no product differentiation.
Statement II:
- In monopolistic competition, there are many firms in the market, each selling a slightly different product. This product differentiation allows firms to have some control over their prices.
- The presence of differentiated product codes in monopolistic competition is a key feature that distinguishes it from perfect competition, where products are homogeneous.
Conclusion:
- Both Statement I and Statement II are correct. The presence of differentiated products in monopolistic competition is a crucial aspect of this market structure, allowing firms to have some degree of market power and control over prices.
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Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer?
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Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer? for UGC NET 2024 is part of UGC NET preparation. The Question and answers have been prepared according to the UGC NET exam syllabus. Information about Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for UGC NET 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer?.
Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer? for UGC NET 2024 is part of UGC NET preparation. The Question and answers have been prepared according to the UGC NET exam syllabus. Information about Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for UGC NET 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer?.
Solutions for Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for UGC NET.
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ample number of questions to practice Statement (I):The important difference between our assumption for monopolistic competition and those for perfect competition is that monopolistic competition sells similar, but not identical products.Statement (II):In the monopolistic competition we have many firms selling differentiated product codes.Choose the correct option from those below:a)Statement I is correct, Statement II is incorrect.b)Statement I is incorrect, Statement II is correct.c)Both Statement I and Statement II are correct.d)Both Statement I and Statement II are incorrect.Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice UGC NET tests.
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