Suppose an Increase in Product Demand Occurs in a Decreasing-Cost

question 27

Multiple Choice

Suppose an increase in product demand occurs in a decreasing-cost industry. As a result,

• A)the new long-run equilibrium price will be lower than the original long-run equilibrium price.
• B)equilibrium quantity will decline.
• C)firms will eventually leave the industry.
• D)the new long-run equilibrium price will be higher than the original price.

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Definitions:

Execution

Execution refers to the process by which a computer or virtual machine carries out the instructions of a computer program.

Implicit Type Cast

Automatic conversion of a value from one data type to another by the compiler.

Explicit Type Cast

A manual operation performed by the programmer to convert a variable from one data type to another. It's typically used when automatic type conversion is not possible or might lead to data loss.

Applications

In computing, applications refer to software programs designed to assist users in performing specific tasks.