00:01
All right.
00:01
For this question, we're going to look at the following items and then determine if each of them are sold in monopolistic competition firms.
00:11
And some characteristics for a monopolistic competition is that there has to be a large number of firms, differentiated products.
00:19
They must compete based off the quality, price, and marketing.
00:23
And there's also no barriers to entry.
00:26
So the first one that we have, cable television service, is this a firm in the monopolistic competition? it is not, because based off the area where somebody lives, there's not going to be many firms competing.
00:42
There might be only a few.
00:44
So this one, no, not many firms depending on location.
00:56
And wheat, this is also not monopolistic competition.
01:03
But this one is, the reason why it says because it is not a differentiated product.
01:09
Wheat is always going to be weed.
01:11
There might be slight differences, but they're not enough to make it a differentiated product because wheat is wheat.
01:20
So in this case, no.
01:24
No differentiation.
01:31
Athletic shoes.
01:33
This one here, there's a large number of firms, differentiated product, lots of market...
