In both price-taker and competitive price-searcher markets, when an increase in market demand disrupts a long-run equilibrium, it will lead to
a. higher short-run prices and long-run profits.
b. higher short-run prices, short-run profits, and the entry of additional firms into the market.
c. higher short-run prices and the exit of firms from the market due to economies of scale.
d. no change in prices in the short run, but new firms will enter in the long run.
B
Economics
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Economists studying the impact of currency unions on trade found currency unions:
A) increased levels of trade by 221%. B) increased levels of trade by 104%. C) increased levels of trade by 38%. D) had no effect on trade levels.
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If we were on curve K, the upper two quintiles received about _____% of income.
A. 25
B. 35
C. 45
D. 55
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