Which of the Following Statements Is False

question 35

Multiple Choice

Which of the following statements is false?

• A)Given the nature of cost curves, positive economic profits can only induce entry of new firms.
• B)Entry and expansion can occur at the same time in the same industry.
• C)When positive economic profits prevail in an industry, firms often expand.
• D)When economic profits are negative, firms might leave an industry.
• E)An industry ceases to either expand or contract when economic profits are zero.

---

Definitions:

Early 30s

A term used to describe someone who is between the ages of 30 and 33.

White Space

In design, the intentional use of unmarked areas to create visual clarity and balance; also known as negative space.

Baby Boomers

A demographic group born during the post-World War II baby boom, approximately between 1946 and 1964.

Generation X

A demographic cohort following the baby boomers and preceding the millennials, generally defined as being born between the early 1960s and late 1970s.