If you recently went backpack shopping, you might have noticed that the market for backpacks satisfies all the characteristics of a monopolistically competitive market: similar but not identical products, free entry and exit, many companies competing with each other. For this question, you are going to consider one famous backpack producing company: Fjallraven. a. Consider the long run equilibrium in the market for backpacks. Illustrate Fjallraven's situation in this long run equilibrium. (6.25 pts) b. Now suppose Fjallraven initiates a new advertisement campaign, which makes their backpacks more popular among college students. How does the successful advertisement campaign affect Fjallraven's profit? Illustrate by drawing the average total cost, marginal cost, marginal revenue, and demand functions of Fjallraven. (6.25 pts) c. Assume that Fjallraven's successful advertisement campaign inspires brand loyalty among their customers. How does brand loyalty impact the long run situation of Fjallraven? (6.25 pts) d. Finally assume that eventually Fjallraven loses the loyalty of their customers. Their customers begin switching to alternative products. Illustrate the new long run equilibrium for Fjallraven. (6.25 pts)