Refer to the scenario above. How will the demand for pens faced by the existing pen manufacturers in Eduland be affected if new firms enter the industry in the long run?
A) The demand faced by the existing firms will become perfectly inelastic.
B) The demand faced by the existing firms will become perfectly elastic.
C) The demand faced by the existing firms will increase.
D) The demand faced by the existing firms will decrease.
D
Economics
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