Long run competitive equilibrium exists when P = MC = SRATC = LRATC. 1. State the conditions

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Long run competitive equilibrium exists when P = MC = SRATC = LRATC.
1. State the conditions that characterize long-run competitive equilibrium.
2. Explain what will happen if price is above or below short-run average total cost in a perfectly competitive industry.
3. Explain why perfectly competitive firms achieve productive efficiency in the long run.
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Economics

ISBN: 978-1285738321

12th edition

Authors: Roger A. Arnold

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