
-The figure above shows the costs for the typical grower in the perfectly competitive turnip market. Currently, the price is $1,000 for a ton of turnips. In the long run, the market supply of turnips will
A) decrease and the price of a ton of turnips will fall to $600.
B) increase and the turnip grower's economic profit will increase.
C) increase and the turnip grower's economic profit will decrease.
D) decrease and the price of a ton of turnips will rise to $1,200.
Correct Answer:
Verified
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