Arranging the four market structures according to the number of firms in the industry ,from fewest to the most, would be
A) monopoly, monopolistic competition, oligopoly, perfect competition
B) monopoly, perfect competition, oligopoly, monopolistic competition
C) monopoly, oligopoly, monopolistic competition, perfect competition
D) oligopoly, monopoly, monopolistic competition, perfect competition
E) perfect competition, monopolistic competition, oligopoly, monopoly

Question

Quizplus · Accepted Answer

Monopoly has the fewest firms (often just one), oligopoly has a few dominant firms, monopolistic competition has many firms with differentiated products, and perfect competition has the most firms, all selling identical products.

Arranging the Four Market Structures According to the Number of Firms