In a perfectly competitive market,the price is currently above the minimum of each firm's long-run average total cost curve.Which of the following statements is correct?
A) The long-run average total cost curve will shift upward in the long run.
B) Firms will alter their plant size in the short run.
C) The market price will fall in the long run.
D) The firms must be producing at an output level where price exceeds short-run marginal cost.
E) The firms will earn above-normal profit in the long run.
Correct Answer:
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