$ per Unit of Output q Quantity AC AVC MR $ per Unit of Output Quantity D In the long run, we should expect: businesses to enter the industry, market supply to increase, and product price to fall businesses to leave the industry, market supply to decrease, and product price to rise businesses to leave the industry, market supply to increase, and product price to rise no change in the number of businesses in this industry businesses to enter the industry, market supply to decrease, and product price to rise

$ per Unit of Output q Quantity AC AVC MR $ per Unit of Output Quantity D In the long run, we should expect: businesses to enter the industry, market supply to increase, and product price to fall businesses to leave the industry, market supply to decrease, and product price to rise businesses to leave the industry, market supply to increase, and product price to rise no change in the number of businesses in this industry businesses to enter the industry, market supply to decrease, and product price to rise

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter7: Production, Costs, And Industry Structure

Section: Chapter Questions

Problem 8SCQ: Automobile manufacturing is an industry subject to significant economies of scale. Suppose there are...

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