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Assume an increasing-cost perfectly competitive industry. Which of the following statements is true?A The short-run market supply curve will be upward sloping, but the long-run market supply curve will be horizontal.B Firms must be producing where their long-run average cost curve is upward sloping, exhibiting diseconomies of scale.C In the long run, firms will actually sustain economic losses.D Firms no longer produce at the minimum of long-run average total cost in long-run equilibrium.E As the industry expands its output, at least one input price increases, increasing the minimum of long-run average total cost.

Answer

It is true in an increasing-cost perfectly competitive industry that as the industry expands its output, at least one input price will increase, which will then increase the minimum of the long-run average total cost. This is because the industry is competitive, and an increase in demand for resources leads to an increase in production costs, especially when resources are limited. This causes the long-run market supply curve to slope upward, rather than remain horizontal as it would in a constant-cost industry. Therefore, the correct answer is option E. For more information on input costs, you can visit brainly.com/question/15120703 #SPJ11.