?Long-run equilibrium for a perfectly competitive firm occurs when:
a. ?Marginal cost (MC) = Marginal revenue (MR) = Price (P) > Long-run average cost (LRAC).
b. ?Marginal cost (MC) = Marginal revenue (MR) = Average fixed cost (AFC) = Short-run average total cost SRATC.
c. ?Marginal cost (MC) = Marginal revenue (MR) = Average fixed cost (AFC) = Long-run average cost (LRAC).
d. ?Price (P) = Marginal cost (MC) = Short-run average total cost (SRATC) = Long-run average cost (LRAC).
e. ?Price (P) = Marginal revenue (MR) = Long-run average variable cost (LRAVC) = Long-run average cost (LRATC).
Ans: d. ?Price (P) = Marginal cost (MC) = Short-run average total cost (SRATC) = Long-run average cost (LRAC).
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