When Price Is Less Than the Firms' Minimum Average Total

question 3

Multiple Choice

When price is less than the firms' minimum average total cost in a perfectly competitive market in the long run,________.

• A) new firms will enter the market
• B) existing firms will leave the market
• C) prices are likely to fall further
• D) firms' profits are likely to be their maximum

---

Definitions:

Cliques

Voluntary social or friendship groups of three to nine members characterizing children in early to middle adolescence.

Sex Role Development

This refers to the process by which individuals learn and adopt the behaviors, attitudes, and attributes considered culturally appropriate for their gender.

Single Parent Families

Household structures that consist of one parent living with their children without a spouse or partner.

Psychoanalytic Theories

A set of theories originating from Sigmund Freud that emphasize the influence of the unconscious mind, childhood experiences, and psychosexual stages on human behavior.