Assignment:
1- Please comment on the following statement " a monopolistically competitve firm will stil produce in the short run even if its demand curve is below its average variable cost curve simply because each firm maintains a degree of market power."
2- Explain what should happen to the demand curve of monopolistically competitve firms as the consumers observe a decrease in the degree of product differentitation on one hand an increase in the number of rival firms on the other . dose that impact the structure of the industry?