The main characteristic of the monopolistic competition market structure is product differentiation. 3A. Explain what is meant by product differentiation and what does it look like? 3B. Explain why the company does this and how?

ECON MICRO
5th Edition
ISBN:9781337000536
Author:William A. McEachern
Publisher:William A. McEachern
Chapter14: Transaction Costs, Asymmetric Information, And Behavioral Economics
Section: Chapter Questions
Problem 1.1P
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(Monopolistic Competition Market)

The main characteristic of the monopolistic competition market structure is product differentiation.

3A. Explain what is meant by product differentiation and what does it look like?

3B. Explain why the company does this and how?

Thank you for the help Bartleby!

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