Which of the Following Statements Is Not True in a Perfectly

question 197

Multiple Choice

Which of the following statements is not true in a perfectly competitive industry in long-run equilibrium?

• A)A profit-maximizing firm may produce any output level at which P
• B)Every firm produces at an output level at which MC = LRAC.
• C)There is no entry or exit from the industry.
• D)No firm earns an economic profit.

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Definitions:

Attribution

The process by which individuals explain the causes of behavior and events, attributing them to internal or external factors.

Capital Punishment

The legally authorized killing of someone as punishment for a crime, typically crimes of a severe nature such as murder.

Cognitive Dissonance

The discomfort experienced when holding two or more conflicting cognitions, leading to an alteration in beliefs, attitudes, or behaviors to reduce the discomfort.

An Attribution

The process of explaining one's own behavior or the behavior of others.