In long run, all firms in monopolistic competition:

CA Foundation · Business Economics · MTP · April 2025
In long run, all firms in monopolistic competition:
(A) A. earn super normal profits
(B) B. earn normal profits
(C) C. incur losses
(D) D. may earn super normal profit, normal profit or in incur losses

Suggested Answer and Working Notes:

Correct Answer: Option (B)

B. earn normal profits

Topics: Price Determination in Different Markets

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