For a monopolistically competitive firm, the demand curve is more elastic in the long run than in the short run.

Name: For a monopolistically competitive firm, the demand curve is more elastic in the long run than in the short run.
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In the long run, there is more time for consumers to find close substitutes for the firm's product, thus making demand more elastic. In the short run, consumers may be willing to pay a higher price for the product, as there are fewer close substitutes readily available.

For a Monopolistically Competitive Firm, the Demand Curve Is More