This preview shows page 1. Sign up to view the full content.
Unformatted text preview: The distinction between the short-run and the long-run is not as important in the case of a monopolistic market structure. The existence of high barriers to entry prevents firms from entering the market even in the long-run. Therefore, it is possible for the monopolist to avoid competition and continue making positive economic profits in the long-run....
View Full Document
- Fall '10