In the Long Run, If a Perfectly Competitive Firm Is

question 40

Multiple Choice

In the long run, if a perfectly competitive firm is incurring an economic loss, the firm

• A) is earning greater than normal profit but not an economic profit.
• B) will minimize opportunity costs by staying in business.
• C) will have some long-run fixed costs.
• D) will leave the industry.
• E) will produce as long as total revenue exceeds total fixed cost.

---

Definitions:

Team Reflexivity

The extent to which teams deliberately discuss team processes and goals and adapt their behaviour accordingly.

Collective Efficacy

The shared belief among members of a group in their capability to execute actions necessary to achieve specific outcomes.

Team Trust

The belief among team members that their peers’ intentions are good and that there is mutual respect within the team, enhancing collaboration and efficiency.

Collective Efficacy

The shared belief of a group in its joint ability to organize and execute the actions required to achieve specific goals.