If a perfectly competitive industry is neither expanding nor contracting,we would typically expect that:

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In a perfectly competitive industry, firms earn zero economic profits in the long run due to free entry and exit. If the industry is neither expanding nor contracting, there is no incentive for firms to enter or exit the market, so the number of firms remains constant, and the price of the good will be stable. Therefore, both (b) and (c) would be true - economic profits are zero, and the price of the good is stable. Accounting profits may or may not be zero, as they do not account for opportunity costs.

If a Perfectly Competitive Industry Is Neither Expanding nor Contracting,we