EXIT TICKET

In monopolistic competition the nature of products is...

• All the products are similar

• All products are quite different

• They are similar but differentiated by shape , brand colour etc

• none of the above

Which of the following products /services falls under monopolistic competition?

• Hotels

• Cement

• Rice

• Railways

How much selling cost is incurred by firms?

• No selling cost

• High Selling Cost

• Low selling cost

• None

What is the position of the firm in terms of pricing of products?

• It is a price maker

• It is a price taker

• Partial control over price

• None

The demand curve in monopolistic competition

• Downward sloping (less elastic)

• Downward sloping(more elastic)

• Perfectly elastic

• Perfectly inelastic

How many sellers are there in this form of market?

• large number of sellers

• few sellers

• One seller

• No seller

Product in monopolistic competition is heterogeneous.

• True

• False

Assertion (A): Product differentiation is the main feature of monopolistic competition.
Reasoning (R): Under monopolistic competition, all the products are perfect substitutes for each other.

• A is true bur R is false

• A is false bur R is true

• Both A and R are true and R is the correct explanation of A

• Both A and R are true and R is the incorrect explanation of A