Table 16-3 This Table Shows the Demand Schedule,marginal Cost,and Average Total Cost

question 222

Multiple Choice

Table 16-3
This table shows the demand schedule,marginal cost,and average total cost for a monopolistically competitive firm.

-Refer to Table 16-3.Which of the following is likely to happen in the long run in this market?

• A) The market is currently in a long-run equilibrium.
• B) The market price is likely to fall.
• C) Firms are likely to enter the market since firms are earning a positive economic profit.
• D) Firms are likely to leave the market since firms are earning a negative economic profit.