Which One of the Following Does Not Occur When Firms

question 47

Multiple Choice

Which one of the following does not occur when firms in a perfectly competitive market make an economic profit?

• A)Firms enter the market.
• B)The market supply curve shifts rightward.
• C)Each firm increases production.
• D)Economic profit of each firm decreases.
• E)Market price falls.

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Definitions:

Agreed-on Guidelines

Rules or principles that have been accepted by all parties involved, typically meant to guide actions or standardize procedures.

Core Characteristic

The fundamental or defining feature, attribute, or quality of something or someone.

Effective Teams

Effective teams are groups of individuals who work collaboratively towards a common goal, characterized by strong communication, mutual respect, and a high level of productivity.

Individual Problem Solving

The process by which a person identifies a problem, considers possible solutions, and takes steps to resolve it on their own.