In a perfectly competitive industry, which of the following is a market signal to resource owners?

Question

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In a perfectly competitive industry, economic profits serve as a market signal to resource owners. Economic profits represent the excess revenue earned by the firm over the total cost of production, including the opportunity cost of resources used. The positive economic profits signal that there is a shortage of resources in the industry and resource owners can respond by shifting resources toward this industry to earn higher profits. In contrast, negative economic profits signal that there is an oversupply of resources and resource owners should consider reallocating resources to other industries. Quality of goods, level of exports, and level of subsidies do not necessarily serve as market signals to resource owners in a perfectly competitive industry.

In a Perfectly Competitive Industry, Which of the Following Is