Ask Question
23 September, 17:01

Suppose a perfectly competitive firm, which is initially in long-run equilibrium experiences a decrease in the wages it must pay its employees. In the short run, which of the following will occur?

+2
Answers (1)
  1. 23 September, 19:50
    0
    C) ATC and MC will shift down, causing the firm to earn a positive economic profit.

    Explanation:

    In the short run, average total cost and marginal cost of production will decrease causing the firm to earn more profit.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Suppose a perfectly competitive firm, which is initially in long-run equilibrium experiences a decrease in the wages it must pay its ...” in 📘 Social Studies if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers