Lilly Is the Price-Taking Owner of an Apple Orchard

question 224

Multiple Choice

Lilly is the price-taking owner of an apple orchard.The price of apples is high enough that Lilly is earning positive economic profits.In the long run,Lilly should expect _____ apple prices due to the _____ firms.

• A)lower;entry of new
• B)higher;exit of existing
• C)lower;exit of existing
• D)higher;entry of new

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Definitions:

Court of Last Resort

The highest court in a jurisdiction from which there is no appeal, often referred to as a supreme court.

State Law

Regulations and statutes enacted by the legislative bodies of individual states, different from federal laws.

Trial Court

The first level of court in the judicial system where cases are heard, evidence is presented, and judgments or verdicts are initially made.

Appellate Court

A court that reviews and potentially revises the decisions of a lower court, focusing on errors of law rather than fact.