A perfectly competitive market is initially in long-run competitive equilibrium. Then, market demand increases. As a result, existing firms in the market begin to By the time all adjustments have been made, profits will O a. produce more output; be less than zero O b. earn positive economic profit; turn into losses O c. produce less output; rise O d. earn positive economic profit, rise even higher e. earn posiive economic profit; be back at zero
A perfectly competitive market is initially in long-run competitive equilibrium. Then, market demand increases. As a result, existing firms in the market begin to By the time all adjustments have been made, profits will O a. produce more output; be less than zero O b. earn positive economic profit; turn into losses O c. produce less output; rise O d. earn positive economic profit, rise even higher e. earn posiive economic profit; be back at zero
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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