In perfect competition, the assumption of easy entry and exit implies that:
A.in the long run all firms in the industry will earn zero economic profits.
B.in the short run all firms in the industry will earn positive economic profits.
C.in the short run all firms in the industry will earn zero economic profits.
D.in the long run all firms in the industry will earn positive economic profits.

Question

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The Answer of In perfect competition, the assumption of easy entry and exit implies that:
A.in the long run all firms in the industry will earn zero economic profits.
B.in the short run all firms in the industry will earn positive economic profits.
C.in the short run all firms in the industry will earn zero economic profits.
D.in the long run all firms in the industry will earn positive economic profits.

In Perfect Competition, the Assumption of Easy Entry and Exit