Question
(1) Do firms earn an economic profit in the long-run equilibrium? (2) Is the market allocatively efficient (does P = MC for the last unit
(1) Do firms earn an economic profit in the long-run equilibrium?
(2) Is the market allocatively efficient (does P = MC for the last unit sold)?
(3) Is the market producitively efficient (do firms produce at an efficient scale, i.e. at the minimum of their long-run average total cost curves)?
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Introduction To Mathematical Statistics And Its Applications
Authors: Richard J. Larsen, Morris L. Marx
5th Edition
321693949, 978-0321694027, 321694023, 978-0321693945
