Firms are ________ with an economic profit of zero,they will ________ in the industry because they ________ be better off in another industry.
A)satisfied,stay,won't
B)unsatisfied,leave,will
C)satisfied,leave,will
D)unsatisfied,stay,won't

Question

Quizplus · Accepted Answer

When firms have an economic profit of zero, it means they are covering all their costs, including opportunity costs, so they have no incentive to move to another industry as they wouldn't be better off elsewhere.

Firms Are ________ with an Economic Profit of Zero,they Will