Suppose That the Market for Haircuts in a Community Is

question 112

Multiple Choice

Suppose that the market for haircuts in a community is a perfectly competitive constant-cost industry and that the market is initially in long-run equilibrium.Subsequently,an increase in population increases the demand for haircuts.In the long run,firms will _____ the market,driving the price of haircuts _____ and the profits of individual firms _____.

• A)enter;up;back to zero
• B)enter;down;back to zero
• C)leave;up;up
• D)leave;up;back to zero

---

Definitions:

Family Nurturing

The process of providing emotional, physical, and social support within the family unit to promote its well-being and growth.

Domestic Violence

A pattern of behavior in a relationship that is used to gain or maintain power and control over an intimate partner.

Economic Status

The social or financial position of an individual or group within a society, often measured by income, wealth, and employment.

Homelessness

The condition of lacking a stable, permanent, and adequate place to live, often resulting in living on the streets, in shelters, or in temporary housing.