In Pure Competition, If the Market Price of the Product

Multiple Choice

In pure competition, if the market price of the product is higher than the minimum average cost of the firms, then

A) some firms will exit the industry and the industry supply will decrease.
B) other firms will enter the industry and the industry supply will increase.
C) some firms will exit the industry and the industry supply will increase.
D) other firms will enter the industry and the industry supply will decrease.