Answer: D
Step-by-step explanation:
In monopolistic competition, sellers can profit from the differences between their products and other products, whereas in perfect competition, all the products are identical or homogeneous, and there is no differentiation among them.
Perfect competition refers to a market structure in which there are many buyers and sellers, and no individual seller or buyer has the power to influence the market price of the product. In this type of competition, the price is determined by the forces of supply and demand, and each seller produces a homogenous product, i.e., identical to that of its competitors.
On the other hand, monopolistic competition is a market structure in which there are many buyers and sellers, but each seller offers a slightly different product, which makes them more or less unique. This differentiation allows the seller to have some control over the price of the product, and they can charge a higher price due to the perceived differences between their product and their competitors. However, there is still competition among the sellers, which keeps the price from being too high.