{"id":86227,"date":"2025-06-01T03:40:49","date_gmt":"2025-06-01T03:40:49","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=86227"},"modified":"2025-06-01T03:40:49","modified_gmt":"2025-06-01T03:40:49","slug":"which-one-of-the-following-is-a-typical-example-of-monopolistic-compet","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/","title":{"rendered":"Which one of the following is a typical example of monopolistic compet"},"content":{"rendered":"

Which one of the following is a typical example of monopolistic competition ?<\/p>\n

[amp_mcq option1=”Retail vegetable markets” option2=”Market for soaps” option3=”Indian Railways” option4=”Labour market for software engineers” correct=”option2″]<\/p>\n

\n
\n
This question was previously asked in<\/div>\n
UPSC CDS-2 – 2021<\/div>\n<\/div>\n
Download PDF<\/a>Attempt Online<\/a><\/div>\n<\/div>\n
\nMonopolistic competition is a market structure characterized by many firms, differentiated products, and relatively easy entry and exit. The market for soaps fits this description well. There are numerous brands (firms), each offering a slightly differentiated product (based on fragrance, ingredients, marketing, etc.), and entry into the market is relatively easier compared to a monopoly or oligopoly.
\n<\/section>\n
\n– Key characteristics of monopolistic competition: Many sellers, product differentiation, free entry and exit, non-price competition (advertising, branding).
\n– Product differentiation allows firms to have some degree of market power (downward sloping demand curve), but the presence of many close substitutes limits this power.
\n<\/section>\n
\n– Retail vegetable markets are often closer to perfect competition (many sellers, relatively homogeneous product, very easy entry).
\n– Indian Railways is a government monopoly.
\n– Labour markets can vary significantly in structure, but a labour market for specific skilled professionals like software engineers might involve elements of oligopsony (few major employers) or competition, not typically monopolistic competition as understood in product markets.
\n<\/section>\n","protected":false},"excerpt":{"rendered":"

Which one of the following is a typical example of monopolistic competition ? [amp_mcq option1=”Retail vegetable markets” option2=”Market for soaps” option3=”Indian Railways” option4=”Labour market for software engineers” correct=”option2″] This question was previously asked in UPSC CDS-2 – 2021 Download PDFAttempt Online Monopolistic competition is a market structure characterized by many firms, differentiated products, and relatively … <\/p>\n

Detailed SolutionWhich one of the following is a typical example of monopolistic compet<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1088],"tags":[1110,1120,1163],"class_list":["post-86227","post","type-post","status-publish","format-standard","hentry","category-upsc-cds-2","tag-1110","tag-economic-development","tag-industrial-sector","no-featured-image-padding"],"yoast_head":"\nWhich one of the following is a typical example of monopolistic compet<\/title>\n<meta name=\"description\" content=\"Monopolistic competition is a market structure characterized by many firms, differentiated products, and relatively easy entry and exit. The market for soaps fits this description well. There are numerous brands (firms), each offering a slightly differentiated product (based on fragrance, ingredients, marketing, etc.), and entry into the market is relatively easier compared to a monopoly or oligopoly. - Key characteristics of monopolistic competition: Many sellers, product differentiation, free entry and exit, non-price competition (advertising, branding). - Product differentiation allows firms to have some degree of market power (downward sloping demand curve), but the presence of many close substitutes limits this power.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Which one of the following is a typical example of monopolistic compet\" \/>\n<meta property=\"og:description\" content=\"Monopolistic competition is a market structure characterized by many firms, differentiated products, and relatively easy entry and exit. The market for soaps fits this description well. There are numerous brands (firms), each offering a slightly differentiated product (based on fragrance, ingredients, marketing, etc.), and entry into the market is relatively easier compared to a monopoly or oligopoly. - Key characteristics of monopolistic competition: Many sellers, product differentiation, free entry and exit, non-price competition (advertising, branding). - Product differentiation allows firms to have some degree of market power (downward sloping demand curve), but the presence of many close substitutes limits this power.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/\" \/>\n<meta property=\"og:site_name\" content=\"MCQ and Quiz for Exams\" \/>\n<meta property=\"article:published_time\" content=\"2025-06-01T03:40:49+00:00\" \/>\n<meta name=\"author\" content=\"rawan239\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"rawan239\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Which one of the following is a typical example of monopolistic compet","description":"Monopolistic competition is a market structure characterized by many firms, differentiated products, and relatively easy entry and exit. The market for soaps fits this description well. There are numerous brands (firms), each offering a slightly differentiated product (based on fragrance, ingredients, marketing, etc.), and entry into the market is relatively easier compared to a monopoly or oligopoly. - Key characteristics of monopolistic competition: Many sellers, product differentiation, free entry and exit, non-price competition (advertising, branding). - Product differentiation allows firms to have some degree of market power (downward sloping demand curve), but the presence of many close substitutes limits this power.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/","og_locale":"en_US","og_type":"article","og_title":"Which one of the following is a typical example of monopolistic compet","og_description":"Monopolistic competition is a market structure characterized by many firms, differentiated products, and relatively easy entry and exit. The market for soaps fits this description well. There are numerous brands (firms), each offering a slightly differentiated product (based on fragrance, ingredients, marketing, etc.), and entry into the market is relatively easier compared to a monopoly or oligopoly. - Key characteristics of monopolistic competition: Many sellers, product differentiation, free entry and exit, non-price competition (advertising, branding). - Product differentiation allows firms to have some degree of market power (downward sloping demand curve), but the presence of many close substitutes limits this power.","og_url":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/","og_site_name":"MCQ and Quiz for Exams","article_published_time":"2025-06-01T03:40:49+00:00","author":"rawan239","twitter_card":"summary_large_image","twitter_misc":{"Written by":"rawan239","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/","url":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/","name":"Which one of the following is a typical example of monopolistic compet","isPartOf":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#website"},"datePublished":"2025-06-01T03:40:49+00:00","dateModified":"2025-06-01T03:40:49+00:00","author":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209"},"description":"Monopolistic competition is a market structure characterized by many firms, differentiated products, and relatively easy entry and exit. The market for soaps fits this description well. There are numerous brands (firms), each offering a slightly differentiated product (based on fragrance, ingredients, marketing, etc.), and entry into the market is relatively easier compared to a monopoly or oligopoly. - Key characteristics of monopolistic competition: Many sellers, product differentiation, free entry and exit, non-price competition (advertising, branding). - Product differentiation allows firms to have some degree of market power (downward sloping demand curve), but the presence of many close substitutes limits this power.","breadcrumb":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/exam.pscnotes.com\/mcq\/which-one-of-the-following-is-a-typical-example-of-monopolistic-compet\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/exam.pscnotes.com\/mcq\/"},{"@type":"ListItem","position":2,"name":"UPSC CDS-2","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/upsc-cds-2\/"},{"@type":"ListItem","position":3,"name":"Which one of the following is a typical example of monopolistic compet"}]},{"@type":"WebSite","@id":"https:\/\/exam.pscnotes.com\/mcq\/#website","url":"https:\/\/exam.pscnotes.com\/mcq\/","name":"MCQ and Quiz for Exams","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/exam.pscnotes.com\/mcq\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209","name":"rawan239","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/761a7274f9cce048fa5b921221e7934820d74514df93ef195a9d22af0c1c9001?s=96&d=mm&r=g","caption":"rawan239"},"sameAs":["https:\/\/exam.pscnotes.com"],"url":"https:\/\/exam.pscnotes.com\/mcq\/author\/rawan239\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/86227","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/comments?post=86227"}],"version-history":[{"count":0,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/86227\/revisions"}],"wp:attachment":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/media?parent=86227"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/categories?post=86227"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/tags?post=86227"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}