Suppose that firms in a monopolistically competitive industry are earning positive economic profits.In this situation, you would expect
A)the number of firms in the market to increase.
B)each firm will experience an increase in its demand.
C)there is a downward shift in the firm's average cost curve.
D)to observe firms reducing their advertising.

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The Answer of Suppose that firms in a monopolistically competitive industry are earning positive economic profits.In this situation, you would expect
A)the number of firms in the market to increase.
B)each firm will experience an increase in its demand.
C)there is a downward shift in the firm's average cost curve.
D)to observe firms reducing their advertising.

Suppose That Firms in a Monopolistically Competitive Industry Are Earning