The graph shown displays the cost curves for a firm in a perfectly competitive market. Assume that all firms in this market have identical cost structures. Initially the market price is $8. Which of the following statements is true? 
A) The long run equilibrium price will be $6.
B) Market demand will decrease in the long run.
C) The long run equilibrium price will be $11.
D) Market supply will increase in the long run.
Correct Answer:
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Q105: In the long run in a perfectly
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