When economic profits are zero for a firm,it means that:

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When economic profits are zero for a firm, it means that the firm is just earning enough to cover its opportunity cost of resources. As a result, there is no incentive for new firms to enter the industry, and existing firms are not likely to exit the industry, since they are earning enough to cover their costs. This is because, if any firms enter the industry, they will raise the supply of goods, driving down the price until economic profits return to zero. Similarly, if any firms exit the industry, it will reduce the supply of goods, which will cause the price to rise until economic profits return to zero. Therefore, in the long run, a competitive market will tend to settle at a point where firms earn zero economic profits, and there is no entry or exit from the industry.

When Economic Profits Are Zero for a Firm,it Means That