Multiple Choice
Which of the following statements is not true in a perfectly competitive industry in long-run equilibrium?
A) A profit-maximizing firm may produce any output level at which P < LRAC.
B) Every firm produces at an output level at which MC = LRAC.
C) There is no entry or exit from the industry.
D) No firm earns an economic profit.
Correct Answer:
Verified
Correct Answer:
Verified
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