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ECO 201 Module Six Short Paper Guidelines and Rubric

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ECO 201 Module Six Short Paper Guidelines and Rubric ECO 201 Module Six Short Paper Guidelines and Rubric Overview A monopoly is a firm that is a sole seller in a market. Monopolies can decide to set different prices for different consumers through price discrimination. In monopolistic competition, there are many firms that sell products that are differentiated (similar but not identical). In this short paper, you will demonstrate what you have learned about the similarities and the differences between monopolistic competition and monopolies. Directions Using the template provided in the What to Submit section, write a short paper exploring the theoretical differences between monopolistic competition and monopoly and their relevance for real-life firms. Introduction: Define monopolistic competition and monopolistic market structures. Economic Theory: Identify at least three key features that monopolistic competition and monopolies have in common and three key features that are different. Use the following questions to guide you: How many sellers are there in the market? Are the products differentiated or identical? Explain. Are there barriers to entry and exit? Explain. How is the profit maximizing quantity determined? How is the price determined in each market type? Is there short run and long run profit? Explain. Application: Illustrate the practical application of the economic theory regarding monopolies and monopolistic competition you discussed in the prior section of your paper. Examples: Research examples of firms that operate under each market structure and explain why you chose each example. Market Structures and Firm Behavior: Analyze how each market structure’s characteristics align with your example firms’ behavior. Provide details to support your claims. Support your claims with examples from your research or from the textbook cited in APA format.

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