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As Exit from a Perfectly Competitive Industry That Is Currently

Question 168

Multiple Choice

As exit from a perfectly competitive industry that is currently unprofitable pushes up the market price,producers will move from a situation where price ____ average total cost to one where price ____ average total cost.


A) exceeds; equals.
B) is less than; equals.
C) equals; is less than.
D) equals; exceeds.

Correct Answer:

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