The long-run market supply curve would be downward sloping if the representative firms'
A)demand curves shift up as the industry expands.
B)ATC curves shift down as the industry expands.
C)supply curves shift left as the industry expands.
D)demand curves shift down as the industry expands.

Question

Quizplus · Accepted Answer

The long-run market supply curve would be downward sloping if the average total cost (ATC) curves of representative firms shift down as the industry expands, indicating economies of scale and decreasing costs with increased production.

The Long-Run Market Supply Curve Would Be Downward Sloping If