1 Market Structures MonopolyCompetitionMonopolistic Competition Oligopoly

2 Monopolistic Competition Many Producers Many Producers Differentiated Product Differentiated Product Production Costs Production Costs Selling Costs Selling Costs

3 Monopolistic Competition P Q D MR MC ATC

4 Monopolistic Competition Real or imagined (created differences) Real or imagined (created differences) Brand names Brand names Advertising Advertising Selling Costs Selling Costs Information Information Persuasion Persuasion Excess Capacity Excess Capacity Monopoly Prices Monopoly Prices Monopoly Profits ? Monopoly Profits ?