A Long-Run Supply Curve Is Flatter Than a Short-Run Supply

question 277

Multiple Choice

A long-run supply curve is flatter than a short-run supply curve because

• A)firms can enter and exit a market more easily in the long run than in the short run.
• B)long-run supply curves are sometimes downward sloping.
• C)competitive firms have more control over demand in the long run.
• D)firms in a competitive market face identical cost structures.

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Definitions:

Employee Turnover

The rate at which employees leave a company and are replaced by new hires, considered as an indicator of workplace satisfaction and stability.

Employment Tests

Devices that assess the probable match between applicants and job requirements.

Selection

The identification of candidates from a pool of recruits who best meet job requirements, using tools such as application blanks, tests, and interviews.

Overt Integrity Tests

Pre-employment screening tools designed to assess the honesty or integrity of potential employees through direct questions.