When the firms in a perfectly competitive industry are just


"When the firms in a perfectly competitive industry are just able to cover their cost of production, economic profit is zero. Therefore, if demand falls, causing prices to go down even a little bit, all of the firms in the industry will immediately shutdown." True or false? Explain. 

Request for Solution File

Ask an Expert for Answer!!
Microeconomics: When the firms in a perfectly competitive industry are just
Reference No:- TGS01205546

Expected delivery within 24 Hours