Question
Our model predicts that firms in a perfectly competitive market will earn zero economic profit in the long run, yet continue to produce the socially
Our model predicts that firms in a perfectly competitive market will earn zero economic profit in the long run, yet continue to produce the socially optimal quantity.Why would a firm continue to produce a product that it earns no profit on?
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Understanding Globalization The Social Consequences Of Political, Economic, And Environmental Change
Authors: Robert K Schaeffer
4th Edition
0742561801, 9780742561809
