Explain why advertising is so important to firms in monopolistically competitive markets.
-Demonstrate graphically what happens to profits if more advertising results in more consumers. Now demonstrate what happens to profit if more advertising raises the costs to the firm.

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The Answer of Explain why advertising is so important to firms in monopolistically competitive markets.
-Demonstrate graphically what happens to profits if more advertising results in more consumers. Now demonstrate what happens to profit if more advertising raises the costs to the firm.

Explain Why Advertising Is So Important to Firms in Monopolistically