If the Liberty Movie Theater operates in a monopolistically competitive market, in the long run the firm will

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In a monopolistically competitive market, firms can earn short-term economic profits, but in the long run, the entry of new firms into the market eliminates these profits, leading firms to earn just a normal profit. This is because the entry of new firms increases competition and reduces the market share and price that each existing firm can command, pushing profits down to the normal level.

If the Liberty Movie Theater Operates in a Monopolistically Competitive