In long-run equilibrium,perfectly competitive markets:
A)minimize total cost.
B)maximize consumer surplus.
C)yield economic profits to most sellers.
D)inevitably degenerate into monopoly in increasing cost industries.

Question

Quizplus · Accepted Answer

In long-run equilibrium, perfectly competitive markets minimize total cost because firms are forced to operate at the point where marginal cost equals price.

In Long-Run Equilibrium,perfectly Competitive Markets