39)Which of the following willnothold true for a competitive firm in long-runequilibrium?39)A)MC equals minimum ATC.B)Pequals MC.C)Pequals AFC.D)Pequals minimum ATC.
ID: MICR20MC 11-13Topic:Long run in pure competitionLearning Objective:11-01 Explain how the long run differs from the short run in pure competition.40)Allocative efficiency is achieved when the production of a good occurs where:40)
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ID: MICR20MC 11-45Topic:Pure competition and efficiencyLearning Objective:11-04 Show how long-run equilibrium in pure competition produces an efficient allocation ofresources.19
7)_______
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8)Suppose a perfectly competitive increasing-cost industry is in long-run equilibrium. Now assume that adecrease in consumer demand occurs. After all resulting adjustments have been completed, the new equilibriumprice:8)_______
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9)An increasing-cost industry is the result of:9)_______A)X-inefficiency.B)a change in the industry's minimum efficient scale.C)higher resource prices which occur as the industry expands.D)the law of diminishing returns.
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Transcribed Image Text:QUESTION 11 Which of the following will not hold true for a competitive firm in long-run equilibrium? A. P = minimum ATC B. MC = minimum ATC O C.p = AFC O D.P= MC %3D
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