Question

Which of the following is true at the​ long-run equilibrium in a monopolistically competitive​ market? A. Each​ firm's output is at the point that minimizes its​ long-run average cost. B. Each firm earns zero economic profit.

Answer 1

B. Each firm earns zero economic profit.

Step-by-step explanation:

In a monopolistic competitive market, there is free entry and exit in the market, if there is a profit more firms will come in and that will reduce the price to zero. the answer is, there will be zero economic profit in the market.