How are the profit maximizing total product and price determined, graphically, for the monopoly and monopolistically competitive firm? How is the determination of price for these two types of firms different from how the purely competitive firm determines its profit maximizing price? b. How does a monopolist or monopolistically competitive firm determine graphically if the demand for its product is inelastic? Why does it NOT want to operate where demand is inelastic? c. Skip C d. Which type(s) of industry competition, of the four studied, displayed allocative efficiency? Does allocative efficiency exist in the short-run, long-run, or both? e. Which type(s) of industry competition exhibits mutual interdependence? Why is it experienced in this type(s) of industry competition and not the other type(s)? f. Why does monopolistic competition exhibit excess capacity? What type of efficiency is not being realized because of it? To achieve this type of efficiency, what should happen to the number of firms within this industry?
