Final answer:
The option that does not describe monopolistic competition is 'Identical products'. In monopolistic competition, firms sell differentiated products unlike in perfect competition where products are identical.
Step-by-step explanation:
The characteristic of monopolistic competition that does not describe it is A. Identical products. This is because monopolistic competition involves firms that sell similar, but slightly differentiated products. On the other hand, perfect competition is where products are identical from one seller to another. The other options such as B. No barriers to entry, C. A downward-sloping demand curve, D. Many buyers, and E. Many sellers are indeed characteristics of monopolistic competition. In contrast to a monopolist, which is protected by high barriers to entry and doesn't face competition, a monopolistic competitor must consider the potential entry of new firms with similar products.