Multiple Choice
If all firms in a perfectly competitive industry are experiencing economic losses,then firms will:
A) exit the industry,until economic profits are positive.
B) exit the industry,until accounting profits equal zero.
C) continue in the industry,hoping for better times.
D) exit the industry,until economic profits equal zero.
Correct Answer:

Verified
Correct Answer:
Verified
Q2: An example of an implicit cost is:<br>A)interest
Q3: Suppose that a firm is located along
Q4: Daily Supply and Demand: Oranges in Hurricane
Q5: If all firms in a perfectly competitive
Q6: Assume that all firms in this industry
Q8: In a perfectly competitive industry over the
Q9: Curly told Larry about his new business
Q10: Explicit costs:<br>A)measure the opportunity costs of the
Q11: Cost saving developments-e.g. ,a new production procedure
Q29: Subsidies are most likely to:<br>A)reduce consumer surplus.<br>B)increase