Multiple Choice
Under perfect competition, super profits are competed away in the long run because
A) firms no longer maximise profits.
B) there are no barriers to entry.
C) firms are price- takers.
D) demand for their product will fall.
E) costs begin to rise.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q28: The efficient regulatory solution for a natural
Q29: Under contestable theory, it is not the
Q30: Why is perfect competition incompatible with achieving
Q31: Which of the following statements does not
Q32: What is 'hit and run' competition?
Q34: E- commerce is bringing more_to the marketplace.<br>A)
Q35: What is supernormal profit?
Q36: The following diagram shows a perfectly competitive
Q37: Assume the wool industry is a perfectly
Q38: For a natural monopolist, fixed costs are