What Condition Is Necessary in a Constant Cost Industry

question 74

Multiple Choice

What condition is necessary in a constant cost industry?

• A) Prices of the industry's inputs do not change as the industry expands.
• B) Prices of the industry's inputs decline as the industry expands.
• C) Prices of the industry's inputs rise as the industry expands.
• D) There are barriers that prevent new firms from entering such an industry.