Final answer:
The industry is experiencing zero economic profits, as economic profit accounts for both explicit and implicit costs, and the presence of positive implicit costs with zero economic profit means the industry revenues are covering all costs.
Step-by-step explanation:
If economic profits in an industry are zero and implicit costs are greater than zero, then we can conclude that the industry is experiencing zero economic profits. This is because economic profit is calculated by subtracting both explicit and implicit costs from total revenues. In the context of monopolistic competition, industries will typically see entry or exit of firms until economic profits reach zero. An industry with zero economic profits implies that revenues are exactly covering all costs, including the opportunity costs represented by implicit costs. Therefore, despite implicit costs being greater than zero, if economic profits are zero, firms are effectively breaking even.