In monopolistically competitive markets,what does the property of free entry and exit suggest
A) The market structure will eventually be characterized by perfect competition in the long run.
B) All firms earn zero economic profits in the long run.
C) Some firms will be able to earn economic profits in the long run.
D) Some firms will be forced to incur economic losses in the long run.
Correct Answer:
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Q42: Figure 16-4 Q43: What is an important difference between the Q44: Figure 16-2 Q45: Product differentiation in monopolistically competitive markets ensures Q46: What is one way in which monopolistic Q48: Entry and exit drive each firm in Q49: When a market is monopolistically competitive,what is Q50: New firms will necessarily enter a monopolistically Q51: Figure 16-4 Q52: What is one way in which monopolistic Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
