In the long run, firms in a competitive market make zero economic profit. This induces most firms to leave the industry

Indicate whether the statement is true or false

False. Those firm cannot make themselves better off by moving their resources into another industry because they cover all opportunity cost.

Economics

You might also like to view...

Why do we subtract import spending from total expenditures?

What will be an ideal response?

Economics

Suppose the average value of in-kind transfers increases by $2,000 from 2013 to 2014 . The poverty rate

a. is more likely to understate the true level of poverty. b. is more likely to overstate the true level of poverty. c. will increase by $2,000 divided by the poverty level. d. Both b and c are correct.

Economics