13.13: Outcome- Short Run and Long Run Equilibrium
- Page ID
- 249090
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What you’ll learn to do: explain the difference between short run and long run equilibrium in a monopolistically competitive industry
When others notice a monopolistically competitive firm making profits, they will want to enter the market. These new firms entering the market will drive the economic profits towards zero in the long-run.
LEARNING ACTIVITIES
The learning activities for this section include the following:
- Reading: Monopolistic Competitors and Entry
- Self Check: Short Run and Long Run Equilibrium
Take time to review and reflect on each of these activities in order to improve your performance on the assessment for this section.
CC licensed content, Original
- Authored by: Steven Greenlaw and Lumen Learning. License: CC BY: Attribution