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Suppose a Farmer Earns a Larger Profit Than the "Normal

Question 65

Multiple Choice

Suppose a farmer earns a larger profit than the "normal profit" by producing a special type of vegetable that becomes popular


A) the farm's owners are likely to withdraw from the industry in order to retire early.
B) other farmers are likely to plant the same vegetable, pushing up the prevailing market price.
C) other farmers are likely to plant the same vegetable, pushing down the prevailing market price.
D) the firm will continue to earn its "normal profits" far into the future.

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