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Question
Siyed, an economics student, believes that a beer sold by one particular shack on the beach is completely different from an identical beer produced by the same factory and sold by the luxury hotel adjacent to the shack. Siyed most likely thinks that
a. the luxury hotel and the shack are in a perfectly competitive industry.
b. the luxury hotel is a monopoly seller of the beer.
c. the luxury hotel and the shack are in a monopolistically competitive industry.
d. the shack is in a perfectly competitive industry, but the luxury hotel is in an oligopoly industry.
e. while beer is homogeneous, the product is differentiated among the sellers.
Answer
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