If a Perfectly Competitive Firm Is Producing the Short- Run

question 55

Multiple Choice

If a perfectly competitive firm is producing the short- run profit- maximizing quantity and is earning negative economic profits, the firm should anticipate _______ .

• A)the market supply to increase
• B)new firms to enter the market
• C)the market equilibrium price to decrease
• D)the market supply to decrease

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Definitions:

Multiple Risk Factors

A combination of attributes, characteristics, or exposures that increases the likelihood of developing a disease or injury.

Teratogenic Agents

Substances or environmental factors that can lead to congenital abnormalities or developmental disorders when a fetus is exposed during pregnancy.

Spontaneous Abortion

Refers to the natural end of a pregnancy before the fetus can survive outside the womb, often known as a miscarriage.

Gestation

The period of time between the fertilization of an egg and the birth of an organism, commonly used in reference to pregnancies.