Microeconomics: Principles, Problems, & Policies, 20th Edition

Published by McGraw-Hill Education
ISBN 10: 0077660811
ISBN 13: 978-0-07766-081-9

Chapter 11 - Pure Competition in the Long Run - Discussion Questions: 2

Answer

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Work Step by Step

People will continue to enter the market until there is no longer a large enough perceived profit to enter the market. Contrarily, businesses will continue to leave a market until the number of firms in the market is small enough to make it profitable.
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