🔎 Difference between Short and Long run in Monopolistic Competition
The only difference between the short run and the long run is the position of the demand curve.
In the short run, analyzing monopolistic competition is IDENTICAL to analyzing a monopoly.
As time passes and you enter the long run, the demand curve shifts and you move from the left diagram to the right diagram. In the right diagram, the Demand curve is tangent to AC.
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