In a monopoly in the long run:
A) economic profits will be eliminated by the entry of rival firms.
B) economic profits will be reduced but not eliminated by the entry of rival firms.
C) entry by other firms will not occur.
D) the price will be the same as in a perfectly competitive market.

Question

Quizplus · Accepted Answer

In a monopoly, barriers to entry prevent other firms from entering the market, allowing the monopolist to maintain economic profits in the long run.

In a Monopoly in the Long Run