Problem
1. How does monopolistic competition differ from pure competition? In what ways are they similar? Compare the price and output policies of a monopolistic competitive firm with those of a pure competitor.
2. Do strong rivalries exist among monopolistic competitors? Do monopolistic competitors seek to outdo their rivals in "offering a better deal to the consumer"? Is the term "monopolistic" descriptive of the market power of firms under monopolistic competition? Explain.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.