Regardless of the Cost Structure of Firms in a Competitive

question 171

Multiple Choice

Regardless of the cost structure of firms in a competitive market, in the long run:

• A)firms will experience rising demand for their products
• B)firms will experience a less competitive market environment
• C)exit and entry is likely to lead to a horizontal long-run supply curve
• D)the marginal firm will earn zero economic profit

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Definitions:

Riparian Rights

Legal rights concerning the use of water from rivers, streams, or lakes adjacent to land. The specifics of these rights can vary by jurisdiction but generally involve the right to access and use water.

Regulations

Rules or directives made and maintained by an authority to regulate behavior or achieve outcomes.

Wealthy

Having an abundance of financial resources, assets, or material riches, allowing for a lifestyle well above the average.

Countries

Distinct territorial bodies or political entities recognized as independent nations.