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2 years ago

In the , the perfectly competitive firm will react to profits by

Business

1 answer:

ElenaW [278]2 years ago

8 0

In the long run, perfectly competitive firms will react to profits by increasing production.

Firms in a perfectly competitive world earn zero profit in the long run. While firms can earn accounting profits in the long run, they cannot earn economic profits.

In the long run, perfectly competitive firms will react to profits by decreasing production. CORRECT: In the long run, perfectly competitive firms will respond to losses by exiting the market. In the long run, perfectly competitive firms will respond to losses by reducing production.

A perfectly competitive market achieves long‐run equilibrium when all firms are earning zero economic profits and when the number of firms in the market is not changing.

In the long run, profits and losses are eliminated because an infinite number of firms are producing infinitely divisible, homogeneous products. Firms experience no barriers to entry and all consumers have perfect information.

Learn more about a perfectly competitive firm here: brainly.com/question/25327136

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3 years ago

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Answer:

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3 years ago

If an organization sets the marketing objective of maintaining uniformity and strong centralized control over its marketing acti

irinina [24]

Answer:

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3 years ago

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Answer:

Which of the following is NOT a step in the strategic planning process?

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3 years ago

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Gekata [30.6K]

Answer:

A) Debit of $1,445

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4 years ago

In the ________, the perfectly competitive firm will react to profits by ________

In the , the perfectly competitive firm will react to profits by