Question

Keely says that he’s glad that his morning coffee is sold in a monopolistically competitive market rather than a purely competitive market. If this is true for most things Keely buys, it suggests that he

Answer 1

This suggests that he buys products with higher prices than other similar products. But this type of market(monopolistic competition) is great though, because there are lesser suppliers than in the pure competition where products are almost within the same price ranges. In a monopolistic competition, suppliers sell their products with a justifiable high price. This is also an advantage for the buyers, they would be able to consume and be satisfied with products of high quality.