One difference between the short run and the long run is that perfectly competitive firms:
A. always earn positive economic profit in the short run, but never in the long run.
B. can earn positive, negative, or zero economic profit in the short run, but will earn zero economic profit in the long run.
C. earn zero economic profit in the short run, but will earn positive economic profit in the long run.
D. always earn more economic profit in the long run.
Answer: B
You might also like to view...
The _________________ is a relationship between inputs and output that identifies the maximum output which can be produced per time period by each specific combination of inputs.
Fill in the blank(s) with the appropriate word(s).
A payment the government makes to either the buyer or seller, usually on a per-unit basis, when a good or service is purchased or sold is called a
a. black market. b. interest rate. c. subsidy. d. tax.