If Firms in a Competitive Market Are Making Positive Economic

question 44

Multiple Choice

If firms in a competitive market are making positive economic profits,the long-run market supply curve

• A) is above the point where the short-run market supply curve and the demand curve intersect.
• B) is below the point where the short-run market supply curve and the demand curve intersect.
• C) and the short-run market supply curve and the demand curve all intersect at the same point.
• D) shifts upward.
• E) shifts downward.

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