In the long run in a perfectly competitive market:
A. firms earn zero economic profits.
B. firms operate at an efficient scale.
C. supply is perfectly elastic when all firms have the same cost structure.
D. All of these are true.
D. All of these are true.
Economics
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One reason the aggregate demand curve is downward sloping is because of the
A) interest rate effect. B) tariff effect. C) welfare effect. D) price effect.
Economics
Explain why imperfect information can lead to market failure. Explain how the market can solve the problem of imperfect information
Under what circumstances may it be more efficient for the government to produce information instead of relying on the market?
Economics