Which statement is false? a. a monopoly sells lower-quality products at higher prices than in a perfect competition. b. natural monopolies are necessary to avoid wasteful duplication of resources. c. collusion is legal in the united states, but cartels are not. d. the start-up costs in a monopolistically competitive industry are low. e. homogeneous products leave consumers with no choice.

The correct answer would be option E, Homogeneous products leave consumers with no choice, which means this statement is False.

Explanation:

Homogeneous products leave consumers with no choice is the False statement, because homogeneous products are the products which cannot be differentiated or distinguished from each other. They have almost exact physical characteristics and properties. People cannot differentiate the products of different suppliers.

So homogeneous products have a lot of substitutes, people have a vast choice range for such products. For example if you go for grocery, you can find different apples coming through different suppliers from different countries, and you are clearly not able to differentiate between them, yet you have a vast range of choice to select from the apples you like.

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