4. Indicate whether the statement is true or false: i. A firm maximizes profit when it produces output up to the point where marginal cost equals marginal revenue. (T/F) ii. In the short run, the market supply curve for a good is the sum of the quantities supplied by each firm at each price. (T/F) iii. In the long run, perfectly competitive firms earn small but positive economic profits. (T/F) iv . In the long run, if firms are identical and there is free entry and exit in the market, all firms in the market operate at their efficient scale. (T/F) H XX LED V. If the price of a good rises above the minimum average total cost of production, positive economic profits will cause new firms to enter the market, which drives the price back down to the minimum average total cost of production. (T/F)