The Figure Depicts a Firm in a Price-Taker Market

question 125

Multiple Choice

The figure depicts a firm in a price-taker market. Use this figure to answer the following question(s) .
Figure 9-18

Refer to Figure 9-18. Given the current market conditions, in the long run,

• A) new firms will enter the industry and market price will fall.
• B) firms will exit the industry and market price will rise.
• C) firms will neither enter nor exit because the market is in long-run equilibrium.
• D) firms will maintain their current level of economic profit.

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Definitions:

Dominant Allele

Allele that exerts its phenotypic effect in the heterozygote; it masks the expression of the recessive allele.

Gene Locus

The specific fixed position on a chromosome where a particular gene or genetic marker is located, essential in genetics for identifying gene variations.

Tongue Rolling

The ability to roll the tongue into a U-shape, considered to be a genetic trait.

Mendel's Law

Principles established by Gregor Mendel explaining the inheritance patterns of traits through genetic factors passed from parents to offspring.