Refer to the graphs shown, which depict a perfectly competitive market and firm in a constant-cost industry. If market demand increases from D0 to D1, in the long run: 
A) new firms will enter this market and price will return to P0.
B) new firms will enter this market and price will remain at P1.
C) some firms will exit this market and price will return to P0.
D) some firms will exit this market and price will remain at P1.
Correct Answer:
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