A Long-Run Supply Curve Is Flatter Than a Short-Run Supply

question 277

Multiple Choice

A long-run supply curve is flatter than a short-run supply curve because

• A)firms can enter and exit a market more easily in the long run than in the short run.
• B)long-run supply curves are sometimes downward sloping.
• C)competitive firms have more control over demand in the long run.
• D)firms in a competitive market face identical cost structures.

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Definitions:

Situational Attribution

involves attributing a person's behavior to external or environmental factors, rather than to internal personality traits.

Internal Attribution

The process of attributing the cause of one's own or another's behavior to personal factors or characteristics.

Dispositional Attribution

The tendency to attribute someone's behavior to their internal qualities or personality rather than to situational factors.

Collectivistic Remark

A statement or observation that emphasizes the importance of groups or communities over individuals.