All of the following statements apply to a purely competitive market in the long run, except
A)in the long run, all inputs are variable in quantity.
B)firms can expand their plant capacities in the long run.
C)total fixed costs remain constant even when output expands in the long run.
D)firms may enter or leave the industry in the long run.

Question

Quizplus · Accepted Answer

In the long run, there are no fixed costs because all inputs are variable, and firms can adjust all factors of production, including plant size.

All of the Following Statements Apply to a Purely Competitive