Why can't the monopolistically competitive firm enjoy long-run economic profits, only short-run economic profits (don't confuse monopolistically

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Why can't the monopolistically competitive firm enjoy long-run economic profits, only short-run economic profits (don't confuse monopolistically competitive with monopoly)? How are they related to monopolies, hence, MONO in its name?

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Fundamentals of corporate finance

ISBN: 978-0470876442

2nd Edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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Posted Date: Aug 10, 2018 06:30 AM

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Why can't the monopolistically competitive firm enjoy long-run economic profits, only short-run economic profits (don't confuse monopolistically

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A monopolistically competitive firm is not in a position to enjoy longrun profits but instead have s... View the full answer

Fundamentals of corporate finance

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