Asked by

Lance Peters
on Nov 05, 2024

verifed

Verified

If a monopolist earns positive economic profits in the long run,

A) new firms will enter the market.
B) the monopolist expands production.
C) the industry supply curve shifts to the right.
D) the monopolist will not change its behavior.

Economic Profits

Profits exceeding the opportunity costs of all resources used in production, indicating the firm is earning more than the minimum required to stay in business.

Monopolist

A single seller in a market who has significant control over the supply and price of a particular product or service.

  • Understand the role of barriers to entry in maintaining long-term monopoly profits.
verifed

Verified Answer

NN
Natalie NguyenNov 12, 2024
Final Answer:
Get Full Answer