When profit-maximising firms in competitive markets are making losses:

a. market demand must exceed market supply at the equilibrium price

b. few firms will enter the market.

c. the most inefficient firms will be encouraged to leave the market

d. there must be a shortage of skilled laboure.new firms will enter the market

If a firm in a competitive market increases production and its marginal revenue remains greater than its marginal cost, raising production will:

a. leave profit unchanged

b. It is impossible to tell from the information provided

c. be profitabled.reduce average variable cost

e .cause the firm to incur losses