Refer to Figure 12-12. Consider a typical firm in a perfectly competitive industry that makes short-run profits. Which of the diagrams in the figure shows the effect on the industry as it transitions to a long-run equilibrium?

The small-country monopolist's free-trade equilibrium features a marginal revenue curve equal to __________ and coincident with _____________.

a. marginal cost; the consumer's demand curve for the product b. the world price; the new competitive demand curve for the firm c. one; profits d. imports at each price; the supply curve

Refer to Figure 2-2. If Vidalia chooses to produce 60 dozen orchids, how many roses can it produce to maximize production?

A) 30 dozen roses B) 50 dozen roses C) 100 dozen roses D) 150 dozen roses