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If a Monopolistically Competitive Firm Were Making Positive Economic Profits

Question 3

Multiple Choice

If a monopolistically competitive firm were making positive economic profits, we would expect


A) the market to become more like a monopoly.
B) the market to become an oligopoly.
C) the market to become more like perfect competition.
D) other firms to enter the market.
E) the firm to continue making positive profits.

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