Suppose a firm operates in the short run at a price above its average total cost of production. In the long run the firm should expect

a. new firms to enter the market.
b. the market price to fall.
c. its profits to fall.
d. All of the above are correct.


d

Economics

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Indicate whether the statement is true or false

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The results of human action but not of human design

a. have traditionally led to anarchy b. can easily be converted into collective decision-making c. have frequently evolved over time into self-enforcing social institutions d. is in actually the result of planned education funding

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The circular flow model represents the establishment of market value for:

a. goods and services. b. wages and salaries. c. profits and rents. d. all of these.

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The most common form of business organization, as far as the number of such firms in business, is the

A) proprietorship. B) partnership. C) corporation. D) S corporation.

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