Describe monopolistic and oligopoly competition. Explain the concept of the pricing decisions under monopolistic competition in short run as well as long run.

Monopolistic competition and oligopoly are two types of market structures that exist between perfect competition and monopoly. They differ in the degree of market power exerted by firms and the characteristics of competition within each market.

Monopolistic Competition

Monopolistic competition is a market structure where many firms sell products that are similar but differentiated from one another. These products are not perfect substitutes, which allows firms to have some degree of market power. It combines elements of both perfect competition and monopoly. The key features of monopolistic competition are:

1. Many Sellers: There are a large number of firms in the market, each offering a similar but differentiated product. This results in competitive pressure, but because the products are not identical, each firm has some degree of market power.
   
2. Product Differentiation: Firms differentiate their products through branding, quality, features, or other factors. This differentiation allows firms to set prices higher than in perfect competition, where products are identical.

3. Free Entry and Exit: Firms can enter and exit the market with relative ease, without significant barriers. This ensures that firms cannot earn supernormal profits in the long run, as new firms will be attracted to profitable markets.

4. Non-Price Competition: Since products are differentiated, firms in monopolistic competition often compete through non-price competition, such _____ _____ __________ _______ __________ ________ ________ ________ _______ ___ ___.
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