Question

Distinguish between imperfect competition and monopolistic competition

Answer 1

Imperfect competition, in which acompetitive market does not meet the above conditions, is very common. Examples ofimperfect competition include oligopoly

monopolistic competition, monopsony and oligopsony. In an oligopoly, there are many buyers for a product or service. but only a few sellers

Answer 2

Answer:

The key difference is that the monopolistic competition are price makers and the perfect competition are price takers.

Explanation:

• As the perfect competition is not easy to attain and this sort of competition has free space and open for all and is fairly structured.  

• Here the identical product is sold by the companies,  

• they have low or no barriers to entry

• Companies have equal market shares.

• While the imperfect competition also called the monopolistic competition.  

• Here the prices are set by the supply and demand as the market is very common.

• Have a high barrier to entry and exit.  

• As monopolistic are those with market dominance they often provide the stuff with no substitutes as few players controlling the market.