Chapter 11 or 24 Monopolistic Competition, Oligopoly, & Game Theory: In-Class & Pre-Class Activities Packet Namen.D. Number: Part 3. Discussion Questions and Problems Section: I. What, anything, do firms in all four market structures have common? 2. Excess capacity is the price we pay for production differentiation. Evaluate this statement in terms Of rnnopolistic competition _ 3. Why might a producer use a desener label to differentiate her product from that Of another prcducer? 4. Will there profits in the long run in a monopolistic competitive market? Explain your answer. 5. Would you cartel formation to be more likely in industries comprised Of a few firms or in those that neude many firms? Explain your answer. 6. There are 60 types or varieties Of product X the market Is product X made in a monopolistic competitive market? Explain your answer 7. Why does the interdependence Of firms play a mapr role oligopoly, but not perfect competition or monopolistic competition? 8. Is there any relationship between the size Of Concentration ratios Of markets and level Of profitability Of markets? Explain 9. Give an example Of a prisoner's dilemma situation Other than the ones mentioned in this chapter HOW are oligopoly and monopolistic competition alike? How are they different?