Because industry X is characterised by perfect competition, every firm in the industry is earning zero economic profit. If the product price falls, no firm can survive. Do you agree or disagree? This is [correct, incorrect] . When price falls, the profits will be [positive, negative, zero] in SR, as a result, in LR, firms start [entering, existing] the industry, [increasing, reducing] supply until the price [eises, falls] to the point of [min of long run AC curve, max of long run AC curve, min of short run AC curve, max of short run AC curve, Min of long run MC curve, min of short run MC curve] . The remaining firms will keep earning [positive, negative, back to zero] profit
Because industry X is characterised by
This is [correct, incorrect] .
When price falls, the profits will be [positive, negative, zero] in SR,
as a result, in LR, firms start [entering, existing] the industry,
[increasing, reducing] supply until the price [eises, falls] to the point of [min of long run AC curve, max of long run AC curve, min of short run AC curve, max of short run AC curve, Min of long run MC curve, min of short run MC curve] .
The remaining firms will keep earning [positive, negative, back to zero] profit.
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