Which of the following is TRUE in long-run competitive equilibrium ("market saturation")? Group of answer choices Firms earn zero economic profit Price is equal to minimum average total cost All of the above are true Firms in the market earn just enough revenue to cover their explicit (accounting) costs and opportunity costs. None of the above are true New firms have no incentive to enter the market
Which of the following is TRUE in long-run competitive equilibrium ("market saturation")? Group of answer choices Firms earn zero economic profit Price is equal to minimum average total cost All of the above are true Firms in the market earn just enough revenue to cover their explicit (accounting) costs and opportunity costs. None of the above are true New firms have no incentive to enter the market
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Which of the following is TRUE in long-run competitive equilibrium ("market saturation")?
Group of answer choices
Firms earn zero economic profit
Price is equal to minimum
All of the above are true
Firms in the market earn just enough revenue to cover their explicit (accounting)
None of the above are true
New firms have no incentive to enter the market
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