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Match the Following Characteristics with the Appropriate Model of Firm

question 131

Essay

Match the following characteristics with the appropriate model of firm behavior,and explain how efficient each firms is in the long run.
(A)Firm faces a horizontal demand curve with no economic profits in the long run.
(B)Firm faces a downward-sloping demand curve.Economic profits can exist in the long run.
(C)Firm faces a downward-sloping demand curve.Economic profits do not exist in the long run.
(D)Firm's demand curve incorporates estimates of other firms' behavior.Profits can exist in the long run.


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