Define the long run equilibrium for monopolistic competition

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Reference no: EM13183838

1. Graph an increase in demand when supply is elastic and show the change in eq. P and Q. Graph a similar increase in demand when supply is inelastic and show the change in eq. P and Q. Compare the results.

2. Graph a market with a tax where firms pay the majority of the tax.

3. Graph the long run equilibrium for perfect competition. Using a similar average cost curve, graph the long run equilibrium for monopolistic competition. Compare the results.

Reference no: EM13183838

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