Which of the Following Is True of a Constant Cost

question 22

Multiple Choice

Which of the following is true of a constant cost industry?

• A)Along the industry's long-run supply curve,firms in the industry earn a positive economic profit.
• B)The long-run supply curve for a constant cost industry is horizontal.
• C)The industry's long-run supply curve is derived by horizontally summing the long-run supply curves of the individual firms.
• D)In the long run,the industry experiences an increase in the price of inputs.

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Definitions:

Cytology

The branch of biology that studies the structure, function, and life cycle of cells.

Histology

The examination of tissue structures at the microscopic level.

Pathology

The study of diseases, their causes, processes, development, and consequences.

Physiology

The branch of biology that deals with the normal functions of living organisms and their parts.