In the long run, a perfectly competitive firm will be efficient in production:
A. so it will NOT have economic profits.
Explanation: In a perfectly competitive market, firms are price takers, meaning they have no control over the market price. In the long run, when all factors of production are variable, firms can adjust their inputs to minimize costs and achieve productive efficiency. Productive efficiency means producing output at the lowest possible cost per unit. If a perfectly competitive firm is efficient in production and minimizing costs, it will not have economic profits because any excess profits would attract new firms to enter the market, increasing competition and driving down prices. Therefore, in the long run, a perfectly competitive firm will earn zero economic profits.