Determine whether each of the statement is true, false, or uncertain. If the statement is false or uncertain, please correct the statement to make it true. If the statement is true, please explain your answer briefly. Give a brief definition of any underlined term. a. In the long run equilibrium of a competitive market, all firms are earning normal profits and operating at the efficient scale. b. The competitive firm’s supply curve is upward sloping and its demand curve is downward sloping.
Determine whether each of the statement is true, false, or uncertain. If the statement is false or uncertain, please correct the statement to make it true. If the statement is true, please explain your answer briefly. Give a brief definition of any underlined term. a. In the long run equilibrium of a competitive market, all firms are earning normal profits and operating at the efficient scale. b. The competitive firm’s supply curve is upward sloping and its demand curve is downward sloping.
Chapter26: Monopolistic Competition And Oligopoly
Section: Chapter Questions
Problem 8E
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Determine whether each of the statement is true, false, or uncertain. If the statement is false or uncertain, please correct the statement to make it true. If the statement is true, please explain your answer briefly. Give a brief definition of any underlined term.
a. In the long run equilibrium of a competitive market, all firms are earning normal profits and operating at the efficient scale.
b. The competitive firm’s supply curve is upward sloping and its demand curve is downward sloping.
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