Which type of market environment (perfect competition, monopolistic competition, oligopoly, or monopoly) is each description below characterizing?
The industry is characterized by interdependent behavior
The several firms in the industry each produce a slightly differentiated product
The industry is made up of a single seller
The industry has a very large number of very small firms, each producing an identical product
The industry is made up of a very large number of very small firms, has product differentiation, and also has no barriers to entry
a) interdependent behavior is represented by the firms in the oligopoly market.
b) In a monopolistic competition there are many firms producing the goods that are slightly differentiated.
c) A monopoly is made up of a single seller in the market.
d) In a perfect market condition there are a large number of firms in the market that are producing similar goods in the market.
e) This is a monopolistic competitive firm, where the number of firms are high and slightly differentiated goods.
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