A perfectly competitive, increasing-cost industry is initially in long-run equilibrium. If a permanent increase in demand occurs, then at the new long-run equilibrium, __
A perfectly competitive, increasing-cost industry is initially in long-run equilibrium. If a permanent increase in demand occurs, then at the new long-run equilibrium, _____.
a.price will be the same and total output will be greater than beforeb.price will be lower and total output will be greater than beforec.price will be lower and therefore total output will be smaller than befored.price will be higher and therefore total output will be smaller than beforee.price will be higher and total output will be greater than before
___.
a.price will be the same and total output will be greater than beforeb.price will be lower and total output will be greater than beforec.price will be lower and therefore total output will be smaller than befored.price will be higher and therefore total output will be smaller than beforee.price will be higher and total output will be greater than before
