In the long run, a perfectly competitive firm neither earns economic profit nor incurs economic losses.

Name: In the long run, a perfectly competitive firm neither earns economic profit nor incurs economic losses.
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Question

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In the long run, a perfectly competitive firm will adjust its scale of operation such that it operates at the minimum point of its long-run average cost curve, where price equals average cost, leading to zero economic profit.

In the Long Run, a Perfectly Competitive Firm Neither Earns