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Managerial Economics · End Term · 31 Aug 2025 · May 2025 term · Set QIA1

Question 32: Which of the following is true about monopolistic compet…

Question 32

+1 markOne correct option

Which of the following is true about monopolistic competition?

  1. A

    Firms compete by selling differentiated products that are highly, but not perfectly substitutable

  2. B

    There is free entry and exit from the market

  3. C

    Both Firms compete by selling differentiated products that are highly, but not perfectly substitutable & There is free entry and exit from the market

  4. D

    None of these

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Correct answer

  • C

    Both Firms compete by selling differentiated products that are highly, but not perfectly substitutable & There is free entry and exit from the market

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Question 32 of 37 in the IIT Madras BS Managerial Economics (Managerial Economics) End Term paper sat on 31 Aug 2025, in the May 2025 term (IIT M IMPROVEMENT FN EXAM QIA1 31 Aug 2025). It carries 1 mark.

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