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Key difference — let me make this stick: 🏁 Perfect Competition • Many firms, identical products • No one firm can affect the price → firms are PRICE TAKERS • Long run: zero economic profit (new firms enter until profits disappear) • P = MR = MC in equilibrium 👑 Monopoly • ONE firm, unique product, high barriers to entry • Firm SETS the price → PRICE MAKER • Restricts output to maximize profit → creates deadweight loss • P > MR = MC in equilibrium Memory trick: Competition = no power. Monopoly = all the power. Want me to quiz you on the graphs? That's usually what shows up on midterms. 📈