Questions:
1. Explain how the long run differs from the short run in pure competition.
2. Explain how the entry and exit of firms affects resource flows and long-run profits and losses.
1. Explain why economic costs include both explicit costs and implicit costs.
2. Explain the concept of opportunity cost as related to the doctor in the Khan Academy video who gave up his profession to open a business.
3. What other factors do you think the doctor may have considered when he decided to leave his profession to open a business?