Which of the following statements is true?
A) When an industry achieves a long-run competitive equilibrium, industry output will not change in the future.
B) When an industry reaches a long-run competitive equilibrium, the typical firm in the industry breaks even.
C) A long-run competitive equilibrium can only be achieved in constant-cost industries.
D) A long-run competitive equilibrium outcome is not economically efficient.
B
You might also like to view...
The structural deficit is defined as
a. that part of the deficit that is so hard to remove that it is never reduced. b. the portion of the budget deficit that occurs because the economy is not at full employment. c. the hypothetical deficit the economy would have under current fiscal policies if the economy were operating near full employment. d. the actual budget deficit that exists in the economy.
The one central bank president that always has a seat on the Federal Open Market Committee is located in:
A. New York City. B. Boston. C. San Francisco. D. Chicago.
If the overall price level rises from 100 to 150, the aggregate
A. quantity demanded could increase from $5 trillion to $6 trillion. B. quantity demanded could decrease from $5 trillion to $4 trillion. C. demand curve could shift to the right. D. demand curve could shift to the left.
In the United States in 1933, the unemployment rate was approximately
A. 7%. B. 25%. C. 42%. D. 64%.