A major difference between a monopoly and perfect competition is that monopolies can earn an economic profit in the long run and a perfectly competitive firm cannot.

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In a perfectly competitive market, firms are price takers and cannot earn economic profits in the long run due to the existence of many firms offering the same product at the same price. However, monopolies have a significant degree of market power and can set higher prices, leading to long-term economic profits.

A Major Difference Between a Monopoly and Perfect Competition Is