If firms in a monopolistically competitive industry are incurring losses, in the long run firms will leave this industry until

Name: If firms in a monopolistically competitive industry are incurring losses, in the long run firms will leave this industry until
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In the long run, firms in a monopolistically competitive industry will exit the market if they are incurring losses, leading to a situation where the remaining firms can break even, which occurs when price (P) equals average total cost (ATC).

If Firms in a Monopolistically Competitive Industry Are Incurring Losses