The property of free entry means that in monopolistically competitive markets:
A) all remaining firms earn zero economic profits in the long run
B) some firms will be able to earn economic profits in the long run
C) some firms will be forced to incur economic losses in the long run
D) the market structure will eventually be characterised by perfect competition in the long run
Correct Answer:
Verified
Q63: Free entry into a market drives economic
Q64: Graph 17-3 Q66: Graph 17-2 Q69: When a profit-maximising firm in a monopolistically Q70: A monopolistically competitive firm chooses: Q72: If in the short run, a firm Q72: Graph 17-3 Q77: If firms in a monopolistically competitive industry Q79: As new firms enter a monopolistically competitive Q80: Graph 17-2 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
A)price, but output
