Consider a competitive market for a product x that is in


Consider a competitive market for a product X that is in its long run equilibrium. Suppose that this is a normal good, and that consumer's income increases and the increase is expected to be permanent. Assuming that the prices of the inputs remain constant, then.

A) the quantity demanded of X will decrease in the short run and the number of firms in the industry will go up in the long run

B) the price of X will increase in the short run and the number of firms in the industry will go up in the long run

C) the price of X will decrease in the short run and the number of firms in the industry will go down in the long run

D) None of the above

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Business Management: Consider a competitive market for a product x that is in
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