You can conclude from the above graph that
A. new firms will enter the industry.
B. existing firms will leave the industry.
C. the industry is in long run equilibrium.
D. it is unclear whether the industry is in the short run or the long run.
A. new firms will enter the industry.
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Short-run demand for electricity can be quite elastic because consumers can change when they consume electricity
Indicate whether the statement is true or false
The equilibrium level of real GDP is $5,000 billion, the full employment level of real GDP is $6,000 . and the marginal propensity to consume (MPC) is 0.90 . Which of the following statements is true?
a. A recessionary gap exists equal to $100 billion. b. The full employment target could be reached if government increased its spending by $100 billion. c. Both of the above statements are true. d. Neither of the above statements are true.
From 1980 to 1987, U.S. net capital outflows decreased. According to the open-economy macroeconomic model, which of the following could have caused this?
a. an increase in the demand for U.S. currency in the market for foreign-currency exchange b. a decrease in the demand for U.S. currency in the market for foreign-currency exchange c. an increase in the supply of loanable funds d. a decrease in the supply of loanable funds
The primary value of data for real GDP lies in its ability to
What will be an ideal response?