Exhibit 8-19 Long-run perfectly competitive industry
As shown in Exhibit 8-19, assume that a perfectly competitive industry is in long-run equilibrium at point A and the demand curve shifts from D1 to D2. The result is a long-run supply curve drawn from point:

If the price of labor falls, we can expect

a. demand for labor will increase b. quantity demanded of labor will increase c. demand for labor will decrease d. quantity demanded of labor will decrease e. marginal labor cost to rise

In the short run, a firm may have accounting losses and remain in operation

a. True b. False Indicate whether the statement is true or false