In Long-Run Equilibrium, Both Purely Competitive and Monopolistically Competitive Firms

question 239

Multiple Choice

In long-run equilibrium, both purely competitive and monopolistically competitive firms will

• A)produce at minimum average total cost.
• B)earn economic profits.
• C)achieve allocative efficiency.
• D)equate marginal cost and marginal revenue.

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Definitions:

Growth Needs

Psychological needs that drive individuals to achieve self-fulfillment and realize their potential.

Strategies and Action Programs

Comprehensive plans and the specific actions taken to achieve a set of goals or objectives.

Persistence

The continued or prolonged existence of something, often referring to the determination to keep going despite difficulties or obstacles.

Direct Attention

The process of focusing mental resources on specific information or activities.