Which characteristic is NOT indicative of monopolistic competition?

A) product differentiation
B) a lack of barriers to entry and exit in the long run
C) many competing producers
D) tacit collusion

Tacit Collusion

Cooperation among producers, without a formal agreement, to limit production and raise prices so as to raise one another’s profits.

Competing Producers

Entities or companies that are in the same market striving to gain market share by offering better products, price, or services.