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Which of the following statements is (are) TRUE? I. As market prices increase, industry output rises because individual firms have upward-sloping marginal cost curves. II. As market prices increase, industry
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Nov 16, 2020
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Which of the following statements is (are) TRUE? I. As market prices increase, industry output rises because individual firms have upward-sloping marginal cost curves. II. As market prices increase, industry output rises because high-cost producers enter the industry. III. As market prices increase, industry output rises because individual firms have upward-sloping short-run supply curves.
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Answer:
I, II, and III. All of those are true.
Robmclarty
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Nov 22, 2020
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