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How does monopolistic competition differ from a) pure competition; b) pure monopoly; c) oligopoly? Explain fully what product differentiation entails.

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Monopolistic competition is overviewed.

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As the name suggests, monopolistic competition is a cross between monopoly and perfect competition. In a monopolistically competitive market, there are many producers and consumers in a given market and consumers usually perceive that there are non-price differences among the products. So in a sense, a monopolistically competitive market has all the characteristic of perfect competition, ...

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