Which of the following statements is true regarding profit maximising firms operating in perfect competition?A    Firms are productively efficient in the short run and allocatively inefficient in the long runB    Firms are dynamically efficient in the long runC    Firms are productively and allocatively efficient in the short runD    Firms are allocatively efficient in the short run and productively efficient in the long run

Which of the following is true for a firm in long-run equilibrium in monopolistic competition? aGiven barriers to entry, the firm earns economic profits in long-run equilibrium. bThere is neither allocative nor productive efficiency. cPrice is greater than average total cost in long-run equilibrium. dThe firm is productively efficient, producing at the minimum of long-run average total cost.

In long-run perfectly competitive equilibrium, which of the following is false?Group of answer choicesThere is efficient, low-cost production at the minimum efficient scale.Economic surplus is maximised.Firms earn economic profit.Economies of scale are exhausted.

Which of the following is true about a monopolistically competitive firm?Group of answer choicesIt can earn an economic profit in the short run, but not the long run.It can earn an economic profit in the short run and the long run.It can earn an economic profit in the long run, but not the short run.It cannot earn a economic profit in either the short or long run.

e) What is the relationship between the profit maximising price level and average total cost for monopolistically competitive firm in the long run and why? f) Is a monopolistically competitive firm allocatively efficient in the short run? long run? Why or why not? g) Is a monopolistically competitive firm productively efficient in the short run? long run? Why or why not? h) Is a monopolistically competitive firm dynamically efficient? Why or why not?

Which of the following statements is NOT correct about perfectly competitive firms: Group of answer choices They will shut down in the short run if they are making economic losses. They cannot sustain positive economic profits in the long run. They will exit the market, in the long run, if they are making economic losses. They will remain in operation in the short run if they are making positive economic profits. They have no control over the market price.