Identify and compare maun characteristics of monopolistic competition and perfect competition?

Question

answer should base on micro economics

Answer 1

Monopolistic competition is a form of competition in which there are many producers and consumers. The monopolistic part comes into play because each competitor in the industry attempts to differentiate their product in some way. Thus, they do not produce a standard, or homogeneous, product. They provide different products. Thus, the Gap and Old Navy are monopolistic competitors. Each produces a similar item, but they attempt to differentiate themselves. Through this differentiation, they maintain power to control the price of their product based upon the difference in their product. In addition to the above factors, there are few barriers to entry into the market.

In perfect competition, the characteristics are largely the same. There are a large number of producers and consumers. Barriers to entry are very low. However, the product produced is homogenous, meaning each producer produces the same product. Farmers are generally a good example of this. Anything that is traded as a commodity would be included in the perfect competition model. In addition, these producers have no control over the price of their product at all, whereas the monopolistic competitior has a degree of control.

Hope this helps.

Answer 2

monopolostic means that a market which is contrlled by a limited number of pplz or group.the main character of monopolsitc economy is the high yeild of return but and perfect competetion market where every group of buss is aloowed to compete on its on prices,provided tat every things remains unchaged.
now a days there is no perfect market concept exits