As a result of the 1. ___ economic profit, some firms will 2. ___ the mountain bike industry. Suppose Mickey's Mountain Bikes remains in business. The demand for Mickey's Mountain Bikes 3.___ and the price of Mickey's Mountain Bikes 4.___. The market share for firms in the mountain bike industry 5.___ as the market adjusts to the long run equilibrium.
As a result of the 1. ___ economic profit, some firms will 2. ___ the mountain bike industry. Suppose Mickey's Mountain Bikes remains in business. The demand for Mickey's Mountain Bikes 3.___ and the price of Mickey's Mountain Bikes 4.___. The market share for firms in the mountain bike industry 5.___ as the market adjusts to the long run equilibrium.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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As a result of the 1. ___ economic profit, some firms will 2. ___ the mountain bike industry. Suppose Mickey's Mountain Bikes remains in business. The

Transcribed Image Text:FIGURE 14.2
Problems 14 to 18
400
MC
АТС
350
300
250
200
150
100
MR
50
.....
100
200
Quantity (mountain bikes per week)
Price and cost
(dollars per bike)
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