What firms as the market adjusts to its new equilibrium

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Reference no: EM13154981

If firms in a monopolistically competitive market are incurring economic losses, which of the following scenarios would best reflect the change facing incumbent firms (who are able to stay in the market) as the market adjusts to its new equilibrium?

a decrease in demand

a downward shift in their marginal cost curve

an upward shift in their marginal cost curve

an increase in demand

Reference no: EM13154981

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