Which of the Following Would Not Occur as a Result

question 56

Multiple Choice

Which of the following would not occur as a result of a monopolistically competitive firm suffering a short-run economic loss?

• A)The firm could exit the industry in the long run.
• B)If the firm does not exit the industry in the long run, its demand curve will shift to the left.
• C)If the firm does not exit the industry in the long run, its demand curve will shift to the right.
• D)If the firm remains in the industry in the long run, it will break even.

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Definitions:

WARN

The Worker Adjustment and Retraining Notification Act, a U.S. labor law requiring most employers with 100 or more employees to provide 60-day advance notification of plant closings and mass layoffs.

Flash Flood

A rapid flooding of low-lying areas, usually caused by intense rainfall over a short period of time.

Legal Obligations

Duties enforced by law that require an individual or entity to act or refrain from acting in a certain way.

Wrongful Discharge

An illegal termination of employment, breaching contract terms or violating statutory or common law rules protecting employees.