Amonpoltically competitive industry that eams ecmmic peofits in the shot un will Al eperience a eperimor the etry of new rival fime inte the industry in the long run O continue t Deperiemor the eit of existing and in the long nun economic in the lon dustry long run

ECON MICRO
5th Edition
ISBN:9781337000536
Author:William A. McEachern
Publisher:William A. McEachern
Chapter10: Monopolistic Competition And Oligopoly
Section: Chapter Questions
Problem 1.1P
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32) A monopolistically competitive industry that earms economic profits in the short run will
A) experience a rise in demand in the long run.
B experience the entry of new rival firma into the industry in the long run.
O continue to eam economic profits in the long run.
D) experience the exit of existing firms out of the industry in the long run.
Transcribed Image Text:32) A monopolistically competitive industry that earms economic profits in the short run will A) experience a rise in demand in the long run. B experience the entry of new rival firma into the industry in the long run. O continue to eam economic profits in the long run. D) experience the exit of existing firms out of the industry in the long run.
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