In the presence of ___ profits, firms enter a monopolistically competitive market until the market reaches the point at which the firms are generating a _ profit; then entry stops, and the market settles into its ___-run equilibrium.
economic; normal; long

Question

06-12-2022
Business

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In the presence of ___ profits, firms enter a monopolistically competitive market until the market reaches the point at which the firms are generating a _ profit; then entry stops, and the market settles into its ___-run equilibrium.
economic; normal; long

Sagot :

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varshamittal029 varshamittal029 · Answer 1 · 2022-12-13T04:16:01-05:00

In the presence of economic profits, firms enter a monopolistically competitive market until the market reaches the point at which the firms are generating a normal profit; then entry stops, and the market settles into its long-run equilibrium.

Monopolistic competition- Monopolistic competition is a sort of imperfect competition when numerous manufacturers compete with one another yet sell various items that are not exact substitutes for one another.

When a large number of businesses provide rival goods or services that are comparable but imperfect alternatives, monopolistic competition exists. A monopolistic competitive industry has minimal entry requirements, and decisions made by any one firm do not immediately affect those of its rivals.

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In the presence of _____ profits, firms enter a monopolistically competitive market until the market reaches the point at which the firms are generating a _____ profit; then entry stops, and the market settles into its _____-run equilibrium. economic; normal; long

Sagot :

Other Questions

In the presence of ___ profits, firms enter a monopolistically competitive market until the market reaches the point at which the firms are generating a _ profit; then entry stops, and the market settles into its ___-run equilibrium.
economic; normal; long