Which of the following is true regarding the similarities and differences between monopolistic competition and monopoly?
A) A monopoly firm faces a downward sloping demand curve while a firm under monopolistic competition faces a relatively elastic demand curve.
B) Both monopoly and monopolistic competition involve a single seller in the market.
C) Monopolistic competition involves many firms selling differentiated products, while a monopoly involves only one firm selling a unique product with no close substitutes.
D) Monopoly and monopolistic competition both result in inefficiencies due to market power, but monopoly generally leads to higher prices and lower output compared to monopolistic competitio