The Long-Run Supply Curve for a Competitive Industry

question 193

Multiple Choice

The long-run supply curve for a competitive industry

• A)may be horizontal if entry into the industry lowers average total cost.
• B)may be upward-sloping if higher-cost firms enter the industry.
• C)will be horizontal if there is free entry into the industry.
• D)will be upward-sloping if there are barriers to entry into the industry.

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Definitions:

Middle Managers

Individuals within an organization who manage the work of subordinate employees and report to a higher-level manager, responsible for implementing the organization's strategies and policies.

Day-To-Day Operations

The routine activities that a business or organization carries out daily to run smoothly and efficiently.

Routine Decisions

Decisions that are made on a regular basis, often following established processes or guidelines.

Clerical Workers

Clerical workers perform a variety of administrative and clerical duties necessary to run an organization efficiently.