In a perfectly competitive industry, short-run economic profits will lead firms to _____ the market, causing market price to _____.

Name: In a perfectly competitive industry, short-run economic profits will lead firms to _____ the market, causing market price to _____.
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Question

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In a perfectly competitive industry, short-run economic profits attract new firms to enter the market. This increases the supply of the product, leading to a decrease in the market price.

In a Perfectly Competitive Industry, Short-Run Economic Profits Will Lead