In the presence of profits, firms enter a perfectly competitive market until the market reaches the point at which the firms are generating a profit; then entry stops and the market settles into its -run equilibrium. (Make sure to put only one word in each blank.)

The market condition in which firms do not face incentives to enter or exit the market and firms earn a(n) profit is known as long-run equilibrium. (Remember enter only one word in the blank.)

How do firms in a perfectly competitive market respond to economic profits in the market?Firms exit the marketThe number of firms remains the sameFirms enter the marketFirms increase the price of their product

profit creates an incentive for other perfectly competitive firms to enter the market. (Use one word for the blank.)

In the presence of _______ profits, firms enter until the market reaches the point at which the firms are generating a(n) ______ profit; then entry stops and the market settles into its long-run equilibrium.Multiple choice question.accounting; positiveeconomic; normaleconomic; supernormalaccounting; normal

What is the short-run equilibrium condition under a perfect competitive market?