Which of the Following Is TRUE for a Perfectly Competitive

question 100

Multiple Choice

Which of the following is TRUE for a perfectly competitive market in long-run equilibrium?

• A) There is no incentive for new firms to enter the market.
• B) Each firm in the market earns zero economic profit.
• C) There is no incentive for existing firms to leave the market.
• D) All of the above are correct.

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Definitions:

Quantifier

A symbol or phrase in formal logic used to specify the quantity of specimens in the domain of discourse that satisfy an open formula.

Open Sentences

Statements in mathematics containing one or more variables, whose truth or falsity can vary depending on the values of these variables.

Scope

The portion of a statement in symbolic notation that is governed by a quantifier.

Truth-Functional Compound

A complex statement formed by combining simpler statements with logical connectives, where the truth value depends solely on the truth value of its components.