Q
The cosmetics industry is not considered by economists to be a good example of perfect competition because ?
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A
A. There are many eu and government health controls on cosmetic products
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B
B. There are a very large number of firms in the industry
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C
C. Firms spend a large amount of money on advertising
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D
D. Profit margins are very high for both producers and retailers
Correct Answer:
C. C. Firms spend a large amount of money on advertising
