If a Typical Monopolistically Competitive Firm Is Incurring Short-Run Losses

Multiple Choice

If a typical monopolistically competitive firm is incurring short-run losses, then

A) other more competitive firms will enter the market.
B) as some firms leave, the remaining firms will experience an increase in the demand for their products.
C) as some firms leave, the demand for the products of the remaining firms will become more elastic.
D) the industry will eventually cease to exist.