The force that leads to zero economic profits for monopolistically competitive firms in the long run is

A society is productive inefficient when

A) it produces at a point inside (below) its PPF. B) it does not produce the maximum output with its given resources and technology. C) it can produce more of one good without giving up some of another good. D) both a and b E) all of the above

If price is below average variable costs at all rates of output, the quantity supplied by a perfectly competitive firm will equal

A) zero. B) the rate of output where price equals marginal cost. C) the rate of output associated with the break-even point. D) the rate of output where marginal revenue equals average fixed costs.