In a Competitive Market with Free Entry and Exit, If

question 219

Multiple Choice

In a competitive market with free entry and exit, if all firms have the same cost structure, then

• A)all firms will operate at their efficient scale in the short run.
• B)all firms will operate at their efficient scale in the long run.
• C)the price of the product will differ across firms.
• D)Both a and b are correct.

---

Definitions:

Body Limitations

The restrictions or constraints on physical abilities due to factors like age, injury, or disability.

Contraceptive Measures

Methods or devices used to prevent pregnancy, including barriers, hormonal methods, and surgical procedures.

Birth Control

Various methods used to prevent pregnancy, including hormonal, barrier, and surgical options.

Contraception

Against conception.