5
answers
0
watching
452
views
salmonrat600Lv1
11 Dec 2019
Are perfectly competitive markets productively efficient in the long run?
a. Yes, because firms produce at the lowest average cost possible.
b. Yes, because firms produce where the marginal benefit to consumers equals the marginal cost of production.
c. No, because firms earn zero economic profits.
d. No, because firms will not shut down unless price is less than the average variable cost of production.
e. Both a and b.
Are perfectly competitive markets productively efficient in the long run?
a. Yes, because firms produce at the lowest average cost possible.
b. Yes, because firms produce where the marginal benefit to consumers equals the marginal cost of production.
c. No, because firms earn zero economic profits.
d. No, because firms will not shut down unless price is less than the average variable cost of production.
e. Both a and b.
mayankjalan96Lv10
25 Sep 2022
Kristelle BalandoLv10
27 Jan 2021
Already have an account? Log in