Monopolistic Competition refers to a market situation in which there are large numbers of firms which sell closely related but differentiated products. Markets of products like soap, toothpaste AC, etc. are examples of monopolistic competition.

Toothpaste is a product sold under Monopolistic competition.

Explanation:

Monopolistic competition is a market structure where there are many firms selling differentiated products that are close substitutes for each other. Toothpaste is a product that is sold under monopolistic competition because there are many firms selling toothpaste, and each firm has some control over the price of its product. Toothpaste brands differentiate their products using different features such as flavors, whitening, sensitivity, and breath freshening. In monopolistic competition, firms use non-price competition to differentiate their products and attract customers.

Factors that make toothpaste a product of monopolistic competition:

1. Many firms: There are many firms selling toothpaste in the market, such as Colgate, Sensodyne, Crest, and Aquafresh.

2. Differentiated products: Each toothpaste brand has its unique features and benefits, such as whitening, sensitivity, and breath freshening.

3. Some control over the price: Toothpaste brands can adjust their prices slightly to attract or retain customers.

4. Non-price competition: Toothpaste brands use advertising, packaging, and other marketing tactics to differentiate their products.

Conclusion:

Toothpaste is a product of monopolistic competition because there are many firms selling differentiated products, and each firm has some control over the price of its product. Toothpaste brands use non-price competition to differentiate their products and attract customers.

Well the definition of monopolistic competition is already given here...so I'm just explaining that why toothpaste products lie under monopolistic market(question u have asked)...With numerous firms in an industry there are many brands of toothpaste in the market.For ex sensodyne,Colgate,babool nd many more.Each of the firms produce similar but differentiated products. The toothpaste industry turns out variation of product which is differentiated by texture,flavour,services ,promotion, product attribute,brand names and packaging .