Question

Some firms will​ ______ the​ market, and the market supply curve will shift​ ______.

A. ​exit; rightward
B. ​enter; leftward
C. ​exit; leftward
D. ​enter; rightward

Answer 1

Answer: (D) enter; rightward

Explanation: As new firms enter the market, there is a shift in the supply curve to the right, decrease in market prices and decrease in economic profit.