The following is a dialogue on perfectly competitive markets between two individuals. Interpret and evaluate this dialogue with the aid of clearly labelled diagrams:

Mutale:"How can competitive profits be zero in the long run? Who will work for nothing?"

Kasonde:"It is only excessprofits that are wiped out by competition. Managers get paid for their work; owners get a normal return on capital in competitive long-run equilibriumno more, no less."

INSTRUCTIONS:

(i). You are required to Interpret and evaluate this dialogue using a minimum of 2500 words or a maximum of 3000 words.