A firm in a perfectly competitive industry
a. is unaffected by the entrance of new firms into the industry, since entering firms affect only the prices they themselves receive.
b. always produces more output in the long run than in the short run.
c. may choose a different output in the long run than in the short run.
d. earns economic profit in the long run but not in the short run.
c
Economics
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If the price elasticity of demand for a product is 2.5, then a price increase of 1.5 percent decreases the quantity demanded by
A) 1.55 percent. B) 3.50 percent. C) 5.00 percent. D) 3.75 percent. E) 1.00 percent.
Economics
What are the factors that determine the amount of money an individual desires to hold?
What will be an ideal response?
Economics