The following figure shows the cost curves (average total cost,ATC; marginal cost,MC) of a firm that operates in a monopolistic competition market,as well as the demand (D) facing the firm and its marginal revenue (MR) .In the long-run,this firm's MR curve will ________.

Question

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In the long-run, firms in monopolistic competition will experience entry and exit of other firms which will drive profits to zero. With profits at zero, the firm's MR curve will shift leftward until it coincides with its ATC curve at the minimum point of the ATC curve. Therefore, the MR curve will shift left.

The Following Figure Shows the Cost Curves (Average Total Cost,ATC;