Solved

Suppose a Perfectly Competitive Market Is in Long-Run Equilibrium

Question 52

Multiple Choice

Suppose a perfectly competitive market is in long-run equilibrium. If there is a permanent increase in demand


A) at least in the short run, some firms will increase their output.
B) at least in the short run, the price will increase initially.
C) new firms will enter the market.
D) All of the above answers are correct.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q47: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q48: Which of the following statements regarding the

Q49: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -Giuseppe's Pizza is

Q50: Perfect competition implies that<br>A) there are many

Q51: A perfectly competitive firm's short-run shutdown point

Q53: A perfectly competitive firm shuts down if

Q54: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q55: In the short run, a perfectly competitive

Q56: In the long run, fixed costs are<br>A)

Q57: An example of a perfectly competitive firm