Zero economic profits for a perfectly competitive firm in the long run means
a. the firm must exit the industry.
b. the firm is in equilibrium.
c. the firm will shut down until the market improves.
d. average revenue is insufficient to cover long-run average cost.
b
Economics
You might also like to view...
What does the upper half of the diagram represent—the part marked 1?
a. the product market b. the factor market c. the government flow of resources d. the flow of income
Economics
The Smoot-Hawley Act:
A. bound the world's nations to a gradual process of tariff reduction. B. established very high tariffs on goods imported to the United States. C. exempted American exporters from the Sherman Antitrust Act. D. established the reciprocal trade agreements program.
Economics