Assume a Perfectly Competitive Industry Is in Long-Run Equilibrium at a Price

question 34

Multiple Choice

Assume a perfectly competitive industry is in long-run equilibrium at a price of $20. If this industry is a constant-cost industry and the demand for the product decreases, long-run equilibrium will be reestablished at a price

• A) greater than $20.
• B) less than $20.
• C) of $20.
• D) either greater than or less than $20 depending on the magnitude of the decrease in demand.

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Definitions:

Receptor Sites

Specific locations on the surface of a cell or within a cell where molecules, such as hormones or neurotransmitters, can bind to influence cellular function.

Narcotics

A class of drugs that dull the senses, relieve pain, and can induce sleep, often used medically for pain relief but also susceptible to abuse.

Chemical Structures

These are the arrangements of atoms in a molecule and the chemical bonds that hold the atoms together.

Axon

is a long, slender projection of a nerve cell that conducts electrical impulses away from the neuron's cell body.