Assume that two firms are operating with identical cost structures, but one firm is in a perfectly competitive industry and the other is in a monopolistically competitive industry. a. Using two correctly labeled graphs, show the long run equilibrium price and output levels for each of the two firms. b. Compare the long run equilibrium price and output levels for the two firms. c. What level of economic profit will each firm earn in the long run? Why do there results occur? d. For each of the two firms at the equilibrium quantity, indicate whether the firm's demand curve is perfectly elastic, elastic, unit elastic, inelastic or perfectly inelastic. How can you tell? e. Explain why the firm in the monopolistically competitive industry experiences excess capacity? Why doesn't the perfectly competitive industry firm have excess capacity?