The long-run industry supply curve in a decreasing-cost, perfectly competitive industry is

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In a decreasing-cost industry, as more firms enter and production expands, the cost of production decreases due to economies of scale. This results in a downward shift in the firms' average cost of production, which leads to a downward shift in the industry's supply curve. Therefore, the long-run industry supply curve in a decreasing-cost, perfectly competitive industry is negatively sloped.

The Long-Run Industry Supply Curve in a Decreasing-Cost, Perfectly Competitive