Which of the Following Is True Concerning Purely Competitive Industries

question 123

Multiple Choice

Which of the following is true concerning purely competitive industries?

• A) There will be economic losses in the long run because of cut-throat competition.
• B) Economic profits will persist in the long run if consumer demand is strong and stable.
• C) In the short run, firms may incur economic losses or earn economic profits, but in the long run they earn normal profits.
• D) There are economic profits in the long run but not in the short run.

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Definitions:

Thirteenth Amendment

The amendment to the United States Constitution that abolished slavery and involuntary servitude, except as punishment for a crime.

Abolished Slavery

The act of formally ending the practice of enslaving people, making it illegal to own slaves.

North American Continent

A vast geographical region comprising the countries of Canada, the United States, Mexico, and the nations of Central America, among others.

Largest Battle

Typically refers to a military engagement with the largest number of combatants or casualties; can vary based on context and historical period.