AP Economics – 12/04/18

I.  Bellwork

  • Page 675 Free Response #2

II.  Objectives:

  • Explain why oligopolists and monopolistic competitors differentiate their products
  • Discuss the economic significance of advertising and brand names

III.  Module 68 Product Differentiation and Advertising Pgs. 676-680

A.  How Firms Differentiate Their Products

  1. Differentiation by Style or Type
  2. Differentiation by Location
  3. Differentiation by Quality

B. Controversies about Product Differentiation

  1. The Role of Advertising
  2. Brand Names

IV.  Classwork (Turn in Today)

A.  Explain how oligopolists and monopolistic competitors benefit from product differentiation.

B.  Use the outline above in Section III to explain and provide two examples for each of the enumerated subtopics  in A & B.

C.  Page 681

  • Multiple Choice 1-5
  • Free Response 1-2


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