If the long-run industry supply curve in a perfectly competitive market is horizontal, then very likely input prices will ____ as industry output expands.

Question

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In a perfectly competitive market with a horizontal industry supply curve, all firms in the industry are able to produce and supply goods at the same cost. As industry output expands, the demand for inputs such as labor and raw materials may increase, but the increased demand will be met by an equivalent increase in supply at the same cost. Thus, input prices will remain constant.

If the Long-Run Industry Supply Curve in a Perfectly Competitive