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Jul 09, 2016 · 1) Which of the following is NOT a characteristic of monopolistic competition? A) Product differentiation B) Barriers to entry into the market C) Advertising D) A significant number of sellers 2) All of the following are characteristics of monopolistic competition EXCEPT A) a few firms dominate the industry. B) product differentiation. True or False: When a competitive firm maximizes profit, profits are always greater than 0. * Your staff did all the hard work for you of figuring out the price of the firm's output is $4 per box and the marginal cost of producing one more unit of output is $2 per box at its current level of output.Which of the following statements is true? A. Monopolistic competitive firms will earn economic profits in the long run because of their ability to control the price of the product.