-Refer to Figure 23.2 for a perfectly competitive firm.Given the current market price of $100,we expect to see

Name: -Refer to Figure 23.2 for a perfectly competitive firm.Given the current market price of $100,we expect to see
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Question

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At the current market price of $100, the firm is making a profit (as their average total cost is below the market price). This will incentivize other firms to enter the industry, increasing the number of firms in the industry.