Which of the Following Would Not Occur as a Result

question 56

Multiple Choice

Which of the following would not occur as a result of a monopolistically competitive firm suffering a short-run economic loss?

• A)The firm could exit the industry in the long run.
• B)If the firm does not exit the industry in the long run, its demand curve will shift to the left.
• C)If the firm does not exit the industry in the long run, its demand curve will shift to the right.
• D)If the firm remains in the industry in the long run, it will break even.

---

Definitions:

Agents

Individuals or entities authorized to act on behalf of another person or entity in legal or business matters.

Contract

A legally binding agreement between two or more parties that outlines obligations and rights.

Principal

In a legal context, the principal is the party who grants authority to an agent to act on their behalf in legal or financial matters.

Apparent Authority

A situation where someone appears to have the power to act on behalf of another (such as an employer), even if they do not have actual authority.