Long-Run Market Supply Curves Are Upward Sloping If

question 122

Multiple Choice

Long-run market supply curves are upward sloping if

• A) firms are identical.
• B) the number of firms is restricted in the long run.
• C) input prices fall as the industry expands.
• D) All of the above.

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Definitions:

Risk Avoidant

Characterizes individuals or strategies that prioritize minimizing potential losses or risks.

Justice Principle

The ethical concept that emphasizes fairness and the equitable treatment of individuals in decision-making processes and distribution of resources.

Profits

The financial gain obtained when the revenue generated from business activities exceeds the expenses, costs, and taxes needed to sustain the activity.

Groupthink

A psychological phenomenon that occurs within a group of people when the desire for harmony or conformity results in an irrational or dysfunctional decision-making outcome.