The Market for Maple Syrup Is Perfectly Competitive

question 30

Multiple Choice

The market for maple syrup is perfectly competitive.Suppose that the market is in long-run equilibrium when the market demand for maple syrup increases.All of the following occur except

• A)in the long run,firms make an economic profit.
• B)the price rises in the short run.
• C)the equilibrium quantity increases.
• D)in the short run,existing firms make an economic profit.
• E)the number of firms in the long run is greater than the number of firms in the short run.

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Definitions:

Consumer Products

Goods produced for personal use by consumers, including items like electronics, food, and clothing.

Manufacturing Cycle Efficiency (MCE)

Process (value-added) time as a percentage of throughput time.

Non-Value-Added Time

Time during which a product is not being directly added value to, such as wait or idle time, which does not contribute to the end value of the product.

Throughput Time

The total time taken from the start to the finish of a production process or operation, including both processing time and any periods of inactivity.