Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What is the answer? In the long-run equilibrium, the existing perfectly competitive firms: always earn a positive economic profit. never earn a normal profit. sell

What is the answer?

In the long-run equilibrium, the existing perfectly competitive firms:

always earn a positive economic profit.

never earn a normal profit.

sell products at the market price which equals their minimum average total cost .

still operate with negative economic profits.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_step_2

Step: 3

blur-text-image_step3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Economics questions