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Monopolistically Competitive
Refers to a market structure where many firms sell products that are similar but not identical, allowing them some power to set prices due to product differentiation.
Purely Competitive
A market structure characterized by many sellers offering identical products, with no single seller able to influence the market price.
Perfectly Elastic
A situation in which the quantity demanded or supplied responds infinitely or massively at a particular price point.
Herfindahl Index
A measure of market concentration used to determine the level of competition within an industry, calculated by summing the squares of the market shares for all firms in the market.
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