why is demand curve more elastic under monopolistic competition than under monopoly. explain

The Demand Curve under monopolistic competition is more elastic than under monopoly. This is because under monopolistic  market, there are so many close substitutes available whereas, in monopoly market,the monopolist is the single seller and does not have any close substitutes available for its product which makes its demand curve less elastic than the one in monopolistic market.

Due to paucity of time, we have presently solved three of your questions, as we require to cater the needs of other students like you. 

  • 13
What are you looking for?