If resources are misallocated in a perfectly competitive market, then, in the long run, profit opportunities will:
A)bring about a more efficient allocation of resources.
B)bring about a less efficient allocation of resources.
C)not bring about a reallocation of resources unless there is government regulation.
D)not bring about a reallocation of resources unless firms are subsidized.

Question

Quizplus · Accepted Answer

In a perfectly competitive market, misallocations of resources are often remedied through the self-interested actions of buyers and sellers.

If Resources Are Misallocated in a Perfectly Competitive Market, Then