Multiple Choice
Which of the following statements concerning equilibrium in the long run is not true?
A) Most firms earn economic profits in the long run.
B) The firm can vary its plant size in the long run.
C) Economic profits are eliminated as new firms enter the industry in the long run.
D) For firms in long-run equilibrium, P = MC = AC.
Correct Answer:
Verified
Correct Answer:
Verified
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