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Can earn positive or negative economic profits, but in long run, firm have zero economic profit.
Explanation :
A market structure in which free entry and exit firm can earn positive or negative economic profit in short run, but earns zero economic profit in long run. Because when there is positive economic profit, firms have incentive to enter the market and when there is negative economic profit, firms will exit the industry. At the end of this entry and exit process, firms will earn zero economic profit in long run.
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