The graphs suggest that in the long run, assuming no changes in the given information the firm is in long run equilibrium earning zero economic profit so no entry or exit will take place. buyers will leave the market. some firms will exit from this market. new firms will be attracted into the market.

The graphs suggest that in the long run, assuming no changes in the given information the firm is in long run equilibrium earning zero economic profit so no entry or exit will take place. buyers will leave the market. some firms will exit from this market. new firms will be attracted into the market.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter12: Firms In Perfectly Competitive Markets

Section: Chapter Questions

Problem 12P

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